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The global crisis and Covid-19 pandemic highlighted the limitations of the European Economic and Monetary Union, particularly the lack of a fiscal union for cross-border risk sharing. This column proposes a central fiscal capacity for the euro area in which transfers to/from regions are driven by euro-area, country-specific, and region-specific shocks. The scheme can produce ....

Region Flamande , United States , Bruxelles Capitale , Oscar Arce , Christophe Kamps , Van Rompuy , Federic Holm Hadulla , Nadine Leiner Killinger , Johannes Lindner , Ettore Dorrucci , Ferdinand Dreher , European Council , Monetary Union , European Commission , European Economic , Resilience Facility , Northern Italy , Eastern France , Eastern Germany , South Italy , Discussion Notes , Scheme Fits All , Central Fiscal Capacity , Fiscal Board , American Economic Review , Completing Europe ,