With the recent reform of the fiscal rules of the eurozone's Stability and Growth Pact, which were suspended during the Covid-19 pandemic, the EU has returned to 'governing by rules and governing by numbers'. These fiscal rules, combined with the failure to create significant new fiscal capacity at the EU level, leave the EU unable to address its many challenges related to climate change, social inequality and security.

Such deficit and debt targeting rules will not only mean austerity for many EU member states, but will also exacerbate social problems and increase political discontent. Legitimacy, so much in question during the eurozone crisis, is likely to be at risk again, fuelling even more populist backlash. So how do we explain why the EU's economic governance is still not fit for purpose?

In her Inspiration Talk, Vivien Schmidt, an expert on institutional change, economic and political system dynamics, and the challenges facing democracy in Europe, will explore the 'grand theories' of European integration to shed light on economic governance during the Eurozone crisis and the Covid-19 pandemic. It will also critically examine the limitations of current reforms and propose potential remedies for a more resilient and effective governance framework.

Vivien A. Schmidt is Jean Monnet Professor of European Integration, Professor Emerita of International Relations in the Frederick S. Pardee School of Global Studies, and Professor Emerita of Political Science and Founding Director of the Center for the Study of Europe, all at Boston University, where she taught from 1998 to 2023. She received her B.A. from Bryn Mawr College, her M.A. and Ph.D. from the University of Chicago, and attended Sciences Po in Paris.
Schmidt's research focuses on European political economy, institutions, democracy, and political theory-especially the importance of ideas and discourse in political analysis.