I trust that the remarkable job accomplished under the leadership of Michel Barnier will be taken forward by the new Commission and Parliament. But this is not all. Ultimately, the sustainability of financial integration depends on fiscal and economic integration as well.
Remember that one cause of resource misallocation before the crisis was closed product and services markets that generated excessive rents and distorted prices signals. Remember that the collapse of cross-border lending during the crisis was aggravated by diverging fiscal positions of sovereigns. Hence, a single market in capital requires not just a banking union, but a fiscal union and economic union as well.