Economic and Monetary Policy: Origin, Evolution and Current Challenges

This chapter discusses the necessity and origins of an economic policy, with a detailed analysis of the Werner report, the European Monetary Snake, the European Monetary System, and the advancement of the single internal market, especially following the Single European Act. Additionally, it scrutinises the implementation phases of the Economic and Monetary Union and its momentum post the Treaty on the European Union. The Stability and Growth Pact and its subsequent revisions are detailed, along with its connection to the Europe 2020 Strategy. The chapter also dissects the global financial crisis, the mechanisms, and measures employed within the European Union to combat it, and the strides towards a Banking Union serving as a complement to the Economic and Monetary Union.