Eurozone rules enforced Germany’s economic model through power asymmetries

Evidence

No matter that these criteria are purely arbitrary, as any economist would confess to the public. No matter that Germany and France ignored them in the past without triggering EU sanctions. The main objective of the euro’s institutional design was always the use of power asymmetries to enforce specific reforms to reshape European economies around the German model: wage moderation, disinflation, competitiveness. — Arthur Borriello and Anton Jäger, The Populist Moment, 110

Categorization

• XREF: Connects to discussions of political economy as coercion and to the reader’s interest in institutional hypocrisy (cf. the arbitrary-yet-enforced rules of OPEC or cartels in other books). — connects to: The euro’s design deliberately enforced German-model reforms through power asymmetries. — Arthur Borriello and Anton Jäger, The Populist Moment: The Left After the…, 110; German ordoliberalism was exported to Europe via the ECB constitution and Euro rules — Mark Blyth, Austerity: The History of a Dangerous…, 375; The EU’s constitutional design embodies German ordoliberal principles — Mark Blyth, Austerity: The History of a Dangerous…, 374 (+3 more)

Broader Connections

• The euro’s design deliberately enforced German-model reforms through power asymmetries. #corroborates (0.95) — Arthur Borriello and Anton Jäger, The Populist Moment, 110
• German ordoliberalism was exported to Europe via the ECB constitution and Euro rules #corroborates (0.92) — Mark Blyth, Austerity, 375
• The EU’s constitutional design embodies German ordoliberal principles #expands (0.80) — Mark Blyth, Austerity, 374
• The euro produced divergence among European economies rather than convergence #expands (0.72) — Mark Blyth, Austerity, 217
• Ordoliberal constitution of the economy was a compromise accommodating Nazi political supremacy #expands (0.72) — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin, 585
• Ordoliberalism rose in Germany partly because no Keynesian rival doctrine existed #expands (0.70) — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin, 547