Is the future of the EMU threatened by recent events Discuss Essay

Is the future of the EMU threatened by recent events Discuss - Essay Example World War; the legal, economic and political framework of the EU is rooted in the Franco-German tradition, which has lent itself to EU tensions with the political agendas of certain other member states such as Britain (Lippert, 2001, p.114). This intrinsic conflict at the heart of the European Monetary Union (EMU) has been further underlined by the recent European Union and International Monetary Fund’s Irish and Greek bailout. Additionally, some analytical forecasts suggest that Spain and Portugal bailouts are on the horizon, which not only questions the future of the Euro but also brings renewed attention to the long term sustainability of the EMU. The fragmentation of the single monetary union and the EU agenda with national political agendas has become increasingly prominent in relation to the EU enlargement programme (Lahav, 2004, p.113). Indeed, Artis & Nixon suggest that the EU’s economic objectives in the last decade have reached crisis (Artis & Nixon, 2007, p.1). They further argue that the EU relies on co-ordination and mutual co-operation of states and that the enlargement of the EU and free movement has led to many member states opting out, derogating or suspending certain obligations to address national political agendas (2007). With regard to the latter, the continuation of the sensitivity over Turkey and reality of corruption and political agenda in EU friendly Ukraine clearly fuels the debate as to how far national objectives can successfully operate in conjunction with EU economic policy (Wesley Scott, 2006, p.99). As such, Artis and Nixon argue that the root of the Union and mutual objectives are becoming secondary to national political interests, which in turn risks negating the Union’s objectives of a monetary union (2007). The focus of this paper is to critically evaluate the extent to which the EMU is threatened by recent events and it is submitted that a central consideration in this issue is the extent to which the efficacy of