The European Commission has published a report on potentially trade restrictive measures introduced between October 2008 and October 2009 by the European Union’s (EU) major trade partners. 223 new trade restrictive measures were reported as planned or introduced since October 2008.
The report says that a protectionist worst-case scenario has been avoided as the measures taken so far are rather limited in scope, relative to fears and previous experience with economic downturns.
Justin Vaïsse from the Brookings Institution analyses in a new article the implications of the economic crisis for the European Union. He consecutively renounces ideas about the surge of nationalism and populism, the death of the internal market, the disintegration of the eurozone, a new iron curtain between the West and East in the EU.
Vaïsse thinks that the main threat is a “soft partition” of the EU. This threat may be realized if the Stability and growth pact is trumped, and if EU leadership remains weak and fragmented.
The author sees much more opportunities for the EU stemming out of the crisis. He thinks there is strong motivation for EU candidate countries to join the Union, and for member states to join the eurozone. According to him EU has serious advantages in specific areas, such as climate change mitigation and adaptation.
He acclaims the ECB record on the crisis, and is very critical of the leadership of Commission’s president Barroso and the Czech EU presidency.
His main argument is that the EU is “too interdependent to fail” due to the crisis.
Posted in Budget and Finance, Environment, EU Reform, Institutional Affairs, Internal Market
Tagged analysis, disintegration, European Central Bank, European Commission, European Union, eurozone, Financial Crisis, measures