The variable geometry of the euro-crisis : a look at the non-euro area Member States

Abstract

This paper analyses how non-euro MS are affected by a set of euro-crisis measures and how their position towards the Eurozone has evolved. After briefly exploring the origins of differentiated integration in EMU, the paper describes the relevance of Euro-crisis law for the non-Euro MS, for example through parts of the Six Pack and the Fiscal Compact. We then look at specific legal topics that arise in relation to EMU and the non-euro MS, such as reforms of fiscal governance, the decision to be bound by the whole of the Fiscal Compact, the inclusion of non-euro MS in important decisions regarding the Eurozone, the obligation to join the euro and the possible consequences of Eurozone membership. We find that there are vast differences within the group of non-Euro MS with regard to the applicability of Euro-crisis law, the way the measures are ratified and/or transposed and the attitude towards the Eurozone and further integration. Euro-crisis law also affects non-Euro MS on a constitutional level, both directly and indirectly, by sponsoring certain budgetary objectives and by favouring certain actors over others during the budgetary process. Finally, the differentiated nature of EMU has also significantly complicated the euro-crisis measures.