## Building a Better Union: Incentivizing Structural Reforms in the Euro Area

_IMF Working Papers, September 11, 2015_

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## Bibliographic details
- Authors: Angana Banerji, Bergljot B Barkbu, James A John, Tidiane Kinda, Sergejs Saksonovs, Hanni Schoelermann, Tao Wu
- Published: September 11, 2015
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781513517087.001

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### Summary and context
- Publication type: IMF Working Papers
- Authors: Angana Banerji, Bergljot B Barkbu, James A John, Tidiane Kinda, Sergejs Saksonovs, Hanni Schoelermann, Tao Wu
- Date: September 11, 2015
- Core problem identified:
  - The momentum for structural reforms is waning in the euro area at a time when even faster progress is needed to boost productivity and growth, achieve real economic convergence, and improve the resilience of the monetary union.
- Central argument:
  - The paper argues for greater simplicity, transparency and accountability in the EU governance framework for structural reforms.

### Key findings
- Need for faster structural reform to:
  - Boost productivity and growth.
  - Achieve real economic convergence.
  - Improve resilience of the monetary union.
- Current EU governance framework issues identified:
  - Lack of simplicity.
  - Lack of transparency.
  - Insufficient accountability.
- Proposed institutional roles:
  - Ex post monitoring by an independent EU-level “structural council”.
  - Ex ante policy innovation by national productivity councils.

### Policy proposals and recommendations
- Three interrelated proposals to advance reforms:
  - “Outcome-based” benchmarking.
  - Better use of existing EU processes to strengthen oversight and reduce discretion.
  - Improved financial incentives.
- Institutional design recommendations:
  - Create an independent EU-level “structural council” to conduct ex post monitoring.
  - Encourage national productivity councils to undertake ex ante policy innovation.
- Longer-term governance advice:
  - Consider deeper governance reforms in the medium-term with a view toward a greater EU role in promoting convergence.

### Subjects and keywords (as provided)
- Subject: Economic integration, EU governance framework, Fiscal policy, Labor, Labor taxes, Macrostructural analysis, Monetary unions, Structural reforms, Taxes
- Keywords: EU country, EU governance framework, EU governance reform, EU institution, EU legislation, EU Policy coordination, Europe, European economic governance, European Union, Global, Labor taxes, Monetary unions, single market, Structural reform, Structural reforms, WP

### Publication and metadata
- Pages: 41
- Volume: 2015
- Issue: 201
- Series: Working Paper No. 2015/201
- DOI: https://doi.org/10.5089/9781513517087.001
- Stock No: WPIEA2015201
- ISBN: 9781513517087
- ISSN: 1018-5941

*IMF Working Paper: "Building a Better Union: Incentivizing Structural Reforms in the Euro Area", September 11, 2015.*

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## Content in this bundle

- **1. Financial Sanctions Within The Governance Framework**
  - [1. Financial Sanctions Within The Governance Framework (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2015/_wp15201.pdf.md){rel="alternate" type="text/markdown"}
  - [1. Financial Sanctions Within The Governance Framework (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2015/_wp15201.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/31/building-a-better-union-incentivizing-structural-reforms-in-the-euro-area-43278_