The framework for economic governance needs to take into account that the euro area must operate, de facto, as a quasi-fiscal federation, in which the college of participating governments has the responsibility of exerting a very strong surveillance on national economic and fiscal policies.
Tommaso has always been very profoundly convinced that it was necessary to reinforce considerably the E letter in EMU in order for Economic Union (EU) to be fully commensurate to Monetary Union (MU). And the time to move is now. We need, in particular, a stronger role of EU institutions, quasi-automaticity of the surveillance process, quasi-automaticity of sanctions, a much more effective enforcement.