The Euro's Democratic Deficit (tied to the legitimacy of the EU)

The greatest and undeniable economic achievement of the euro is to have saved the European economy from fracturing in the economic and financial crisis unleashed by the collapse of Lehman Brothers.

We know from the example of the 1930s how tempted national governments are to believe in times of economic crisis that devaluation and protectionism will serve the interests of their electors; and how devastating it is for all involved when national governments succumb to that temptation.

When the euro was introduced in 1999, national governments sought to keep for themselves the greatest possible national autonomy for economic decision-making. Looking back, we can see that this was an inadequate approach. Much of the past 18 months has been devoted to repairing the gaps in the euro’s original structure of governance. The process is not yet complete, but remarkable changes of approach from all members of the euro zone are already plain for all to see. Now we must look to growth and how it can be re-established on a sustainable basis particularly on the periphery.

The Fiscal Compact is a necessary part of the future. But the process needs to go further if the future of the euro is to be assured. In the mind of some honest outside observers, there is still a genuine question mark over the long-term future of the euro zone.

But surely reform is indispensable in order to address the undoubted reality of the democratic deficit. The plain fact is that the European Parliament, worthy though its efforts are, has not provided the legitimacy required. What is needed in addition are two further changes.

The first of these is a democratic selection by election of the president of the European Commission combined with further steps to legitimize nationally each of the commissioners to be appointed by him.

The second requirement needed to address the democratic deficit is greater engagement by national parliaments in the deliberations of their representatives in the Council of Ministers on proposals for legislation made by the commission. This is necessary both to improve the quality of legislation and to alert electorates to the full consequences of such legislative proposals.

http://www.nytimes.com/2012/05/30/opinion/the-euros-democratic-deficit.html?pagewanted=1

No one knows if the euro will survive this crisis. Some want it to remain; others want it to fail. For the sake of Europeans and their life style, I hope they choose wisely.