CEPII - Event

Rencontres
Europe et International

Tuesday September 26, 2017

12.30-14.30 - France Stratégie, 18 rue de Martignac (7e arr.) Salle Pierre Guillaumat

Uncertainty surrounds the future of the European Union and its place in the world. The crisis set in motion a whole range of initiatives and institutional changes and in Europe, both at the EU28 and euro area levels. These now have to blossom into a solid and durable edifice.

A challenge is therefore to make sure that the next steps in European integration live up to the economic, institutional, political, social and governance challenges that Europe is facing.

In that context, CEPII and France Stratégie have launched a series of monthly events – lunchtalks - about Europe with the aim to bring together officials, academics, as well as practitioners and corporates around a relevant speaker selected for his relevance for European matters.

“A new common debt instrument to consolidate the Eurozone?” - with Graham Bishop

	Graham BISHOP Consultant
	Jean-Pierre LANDAU Professeur, Sciences Po

The European Commissioner for Economic and Financial Affairs, Taxation and Customs, Pierre ‎Moscovici, outlined his proposal for a ‎European safe asset in July at France Stratégie:‎ ‎“This ‎European safe asset would be a new common debt ‎instrument. It would unite the dimensions of ‎solidarity and responsibility that we want to combine ‎rather than oppose. It would, of course, be an ‎instrument of solidarity. But it would also be a ‎tool of responsibility as it would encourage market ‎discipline in the system. ..
The ‎existence of a Eurozone safe asset could provide the authority ‎charged with issuing it – a ‎European Treasury for example – a new and indirect lever with which to ‎discipline member states, particularly as the access to this preferential form of financing would be ‎limited. If ‎a state were to seek to run a fiscal policy in violation of the common rules, the cost ‎of ‎additional debt would increase gradually. These rising costs would therefore be the deterrent, ‎not potential sanctions. The key point, then, is creating a system ‎where costs increase progressively ‎and not‎ as was the case in 2010 and 2011, where they went from nil on Friday evening to ‎astronomical levels on Monday morning.” ‎

Graham Bishop is the author of the “Temporary Eurobill Fund” proposal , whose ‎characteristics are ‎similar to the mechanism described by the European Commissioner. ‎He will present his proposal, ‎which will be then discussed by Jean-Pierre Landau.

By invitation only.
The event will take place under the Chatham House Rule. The presentations and discussion will be held in English and in French.
Contact: vincent.aussilloux@strategie.gouv.fr ‎

For more information, please check www.strategie.gouv.fr/debats/debat-un-instrument-demission-de-dettes-commun-consolider-zone-euro