Refugees Make History

Nationalism is only one of many exclusive identities; it is also only one of many powerful forces in Europe and elsewhere that shape political events. Religion and ideology also matter, both in bringing people together and in driving them apart. The energy they create is potentially lethal, particularly for those who find themselves holding onto the wrong (sort of) identity. Identity conflict inevitably creates refugees – people who do not belong to the ‘in-group’ and so find themselves cast out of society. The challenge for governments and societies is to manage the consequences with the least possible dislocation and to their greatest advantage.

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Paolo Gentiloni: Macroeconomic Governance in the Crosshairs

Paolo Gentiloni began his tenure as European Commissioner today by giving an interview in Corriere della Sera. He spoke about a number of the major issues the new Commission has to face, but the part of the conversation that made the front page ran something like ‘the reform of the European Stability Mechanism is not a threat.’ Flip to page three and the title is even more explicit: ‘There is no plot in Brussels against Italy.’ European macroeconomic policy coordination is politically explosive. Gentiloni is the Commission’s first line of defence.

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The Battle for Post-Crisis Europe

Europe needs a ‘new narrative’ if it is going to move forward rather than falling back into crisis.  That narrative cannot be a collection of policy initiatives or institutional reforms.  New policies are important; so are new institutional arrangements.  But politics and institutions do not by themselves speak to a democratic electorate – and particularly not to an electorate that has focused its attention on legitimate grievances of its own.  Only politicians with a clear vision of the future can wield influence with voters in such a context.  If the politicians with the best ideas are too afraid to forge a vision, they should not be surprised when voters attach themselves to politicians who run off in the wrong direction.  Europeans deserve better political leadership; so does Europe.

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Europe’s Complicated Democracy

Europeans are heading to the polls now in one of the world’s largest and most complicated democratic experiments. Moreover, these European elections are probably the most consequential we have seen since Europeans started voting directly for members of the European Parliament in 1979. This is a good opportunity to think hard about how Europeans are represented, how they make their decisions about voting, and what kind of Europe is on offer. Three recent books suggest new and important lines of argument. Christina Schneider shows that much of the responsiveness of Europe to the voters actually takes place through the Council of the European Union; Jennifer Fitzgerald reveals how votes on the extremes are more likely to be local than national, even if they have an anti-European tinge to them; and Sergio Fabbrini argues that many of the tensions we see surrounding the European project could be resolved if we just changed the way we think about constitutional federalism. These arguments are challenging and sophisticated in ways that much of the commentary that surrounds the European elections tends not to be; they are also counterintuitive. Now that everyone is focused on Europe, it is a good time for some well-grounded, lateral thinking.

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Avoiding another Twenty Years’ Crisis

On 4 December 2018, United States (U.S.) Secretary of State Michael R. Pompeo gave a speech at the German Marshall Fund in Brussels about ‘restoring the role of the nation-state in the liberal international order.’ At the core of that speech, he posed a fundamental challenge to world order: ‘Every nation – every nation – must honestly acknowledge its responsibilities to its citizens and ask if the current international order serves the good of its people as well as it could. And if not, we must ask how we can right it.’ He insisted that: ‘nothing can replace the nation-state as the guarantor of democratic freedoms and national interests.’ And he went on to explain: ‘Our mission is to reassert our sovereignty, reform the liberal international order, and we want our friends to help us and to exert their sovereignty as well. We aspire to make the international order serve our citizens – not to control them.’ In the language of the most recent U.S. national security strategy, this perspective on world affairs is characterized as ‘principled realism’. Pompeo describes it more simply as ‘common sense’. While Pompeo is right that his view is common, he is wrong to believe in its realism or even that it makes sense.

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Catching Up with Italian Politics

The fast pace of change in Italian politics has left many observers outside the country struggling to catch up.  This collection offers a quick overview in bullet points with links to recent articles I have written in case you have interest in learning more.  I am going to list the material in reverse chronological order.  Most people want to know what is happening and then figure out why.  If you are one of those people who works the other way around, I advise you to follow the links from the bottom up.

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Europe between France, Germany, … and Italy

The United Kingdom’s exit from the European Union (EU) creates new opportunities for Europeans to unite around a common vision. The British played an important role in Europe both as a common market and as a political union. The challenge for the remaining member states will be to adapt to Great Britain’s absence. Last autumn, French President Emmanuel Macron launched an ambitious raft of proposals for reenergizing the European project. More recently, German Chancellor Angela Merkel forged a grand-coalition government with a different pro-European agenda. Macron’s vision is more centralist and involves more institutionalized solidarity; Merkel’s vision is more intergovernmental and places more emphasis on political responsibility at the national level. The success of either approach will depend upon how other European member states respond to the call for unity. The next Italian government will play a critical role.

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European Macroeconomic Governance Reform: Engineering or Ethics

The German grand coalition agreement promises to breathe new life into the debate about European macroeconomic governance reform. The German Social Democratic Party (SPD) will hold the ministries for foreign affairs and finance; SPD leader Martin Schulz has made it clear that he is in favor of further integration; and the bullet-point version of the agreement includes a number of eye-catching suggestions that seem to cross over a number of previous German red lines. Although emphasis on risk-reduction (and national responsibility) remains prominent, risk-sharing, stabilization, and some kind of common backstop for banking resolution and deposit insurance seems more likely now than ever in the past. Nevertheless, I remain unconvinced. The problem is not whether the SPD rank-and-file will vote in favor of the agreement. That remains to be seen. My doubts arise from the categorical difference between engineering and ethics.

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The Franco-German Relationship Is Not What It Used to Be

There a strong presumption that a rejuvenated Franco-German relationship can relaunch the European project. That presumption is inaccurate. The problem is not that Emmanuel Macron has too much on his plate domestically or that Angela Merkel did not get the electoral results she (and Macron) might have wanted. The major constraint on a Franco-German relaunching of Europe is not even that the French and Germans disagree on fundamental issues related to reforming macroeconomic governance in the euro area. Rather, the reason a new partnership between France and Germany is not going to relaunch the European project is that Europe is not the same.

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