8 research outputs found
European Competence, A European Civil Code, A Common Frame of Reference or An Optional Instrument
Deposit insurance in theory and practice
Having been hailed as the most important contribution to stabilising the US financial system after the 1929—33 crash, deposit insurance is now being blamed for financial destabilisation, particularly in emerging markets. This paper focuses on the relationship between deposit insurance and systemic stability in the banking system, drawing on recent experience in the USA, Europe and Japan. The conclusion is that if there is an embedded perception that in the last resort depositors will be protected beyond insurance limits then market-orientated solution to the problems of ‘moral hazard’ and excessive risk taking cannot work
Understanding the social construction of the democratic deficit in CSDP: a Foucauldian approach
Drawing upon the Foucauldian approach of governmentality, this article argues that the democratic deficit of the EU's Common Security and Defence Policy (CSDP) is the outcome of how governmental power flows in CSDP governance and more precisely within the governance practices of the policy. To support this argument, the narrative explores the secrecy/confidentiality, informality and normalisation of the exercise of governmental power in a concrete example of CSDP governance, the recent pooling and sharing initiative. The example shows that the official makers of CSDP pursue efficiency of governance to the detriment of the democratic quality of the policy, and this is related with the productive and expansive rationality of governmental power flowing in and between the EU institutions. Despite the fact that governmentality usually links to structural explanations, allowing limited space for the role of agency in politics, the article concludes with reflections on how the political agency of the governing EU political subjects contributes to the social construction of the democratic deficit of CSDP