Thread by @armin_steinbach

+++Publication alert+++

Happy that "#Greening the Economic and Monetary Union (EMU)" was accepted by the Common Market Law Review, the top-field EU law journal.

Climate becoming part of EMU policies is at odds with the traditional legal architecture
papers.ssrn.com/sol3/papers.cf…

Fiscal, financial and monetary policies - each of them recently integrated climate policy concerns through policy and law changes.
This leads to more interdependence & coordination between these policy areas.

A challenge for the traditional legal architecture because EU Treaties strictly separate these policy areas

Courts that continue to insist on policy delineation (e.g. German Consstitutional Court) will take issue with interdependence and spillovers.
The European Court of Justice is more flexible.

How much climate can ECB integrate into monetary policy besides price stability? Secondary mandate is unchartered territory legally

ECB needs guidance on policy priorities from elected institutions, e.g. Council or EUParliament. To make sure ECB only "supports" economic policis.

EU fiscal rules can be interpreted and applied to favor green investment to some extent. No Treaty changes required.

Will climate stability become new paradigm in EMU? After price stability, fiscal and financial stability, now climate stability? There is a grid of legal rules in primary and secondary law that could point in that direction. This will change the normative setup of EMU.

Research of interest maybe for @pisaniferry @ArribaSellier @martinph01 @Isabel_Schnabel @jzettelmeyer @GrundSebastian @lucasguttenberg @MattHGoldmann @PhilippaSigl @AliciaHinarejos @repasi @SDullien @BachmannRudi @Lars_Feld @M_Markakis