Publication

This brief argues that European leaders must make three choices about the type of political union they want. They must decide whether they want: 1) a limited economic federation aimed at stabilizing the euro, or a full economic federation; 2) a rules-based federation with a very small margin for policy flexibility, or one with wide-ranging discretionary powers and policy instruments; and 3) a political system reliant upon indirect legitimacy, or one drawing on direct legitimacy conferring executive authority to supranational institutions. The authors warn that EU leaders must strike a balance that allows a more integrated EU to be flexible, while retaining legitimacy of governance.