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Gepubliceerd op 19-02-2020

The net operating balances or the "Juste retour" approach

19-02-2020

Operating budgetary balances (OBBs) are calculated and published annually by the European Commission as an attempt to document the differences between a Member State’s financial contribution to and its allocated expenditure from the EU budget. OBBs have become a highly politicised concept, with substantial shortcomings. Calculating Operating budgetary balances (OBB) is purely an accounting exercise. This is most convincingly demonstrated by the zero-sum assumption inherent in the Operating budgetary ...

Operating budgetary balances (OBBs) are calculated and published annually by the European Commission as an attempt to document the differences between a Member State’s financial contribution to and its allocated expenditure from the EU budget. OBBs have become a highly politicised concept, with substantial shortcomings. Calculating Operating budgetary balances (OBB) is purely an accounting exercise. This is most convincingly demonstrated by the zero-sum assumption inherent in the Operating budgetary balances concept, as a positive OBB of one country must necessarily be offset by a negative OBB of equal size by another Member State. Evidently, such a perspective stands in sharp contrast with the idea of an EU budget that is not primarily meant as a system of fiscal redistribution, but rather as a means to generate European added value..

Externe auteur

Zareh Astryan, Annika Havlik, Friedrich heinermann, Justus Nover, Marta Pilati

Net operating balances indicator: A distorted indicator of a Member's benefit from the EU budget

19-02-2020

Operating budgetary balance (OBB) calculations imply that EU spending is a zero-sum game. This feature is inconsistent with the main argument that EU spending creates European added value. Thus, taking simple net operating balances as an indicator of a Member State’s ‘net benefit’ from the Union’s fiscal activities can lead to misleading results, as demonstrated in the following points of argument.

Operating budgetary balance (OBB) calculations imply that EU spending is a zero-sum game. This feature is inconsistent with the main argument that EU spending creates European added value. Thus, taking simple net operating balances as an indicator of a Member State’s ‘net benefit’ from the Union’s fiscal activities can lead to misleading results, as demonstrated in the following points of argument.

Externe auteur

Zareh Astryan, Annika Havlik, Friedrich heinermann, Justus Nover

EU membership benefits: Not measured by net operating balances

19-02-2020

National operating budgetary balances (OBBs) do not take into account all of the economic and non-monetary benefits that Member States gain from EU membership. In many policy areas with cross-border characteristics and demand for critical mass, common action at the EU level may lead to better results than fragmented national initiatives. Several studies show that the Single Market has increased employment and growth. The effect of the Single Market deepening since 1990 has been quantified by 3.6 ...

National operating budgetary balances (OBBs) do not take into account all of the economic and non-monetary benefits that Member States gain from EU membership. In many policy areas with cross-border characteristics and demand for critical mass, common action at the EU level may lead to better results than fragmented national initiatives. Several studies show that the Single Market has increased employment and growth. The effect of the Single Market deepening since 1990 has been quantified by 3.6 million new jobs. Additionally, EU GDP would be 8.7% lower if there had been no Single Market integration. The average EU citizen gains €840 more per year thanks to the Single Market. While all EU citizens benefit from income gains thanks to the Single Market, these effects are higher for Western Europeans in absolute terms. Relative to GDP, gains and losses are more similar.

Externe auteur

Marta Pilati, Fabian Zuleeg

How to overcome the "Juste retour" obsession

19-02-2020

A net budgetary balance is a highly misleading indicator of the benefits from EU spending and EU membership. Budgetary decisions taken on the basis of this indicator result in poor policies as they are biased towards programmes with monetary backflows into Member States. This ‘juste retour’ mentality is a major obstacle to achieving more European added value through the EU budget. The deeper underlying cause of this misleading and detrimental net balance preoccupation is the high salience and political ...

A net budgetary balance is a highly misleading indicator of the benefits from EU spending and EU membership. Budgetary decisions taken on the basis of this indicator result in poor policies as they are biased towards programmes with monetary backflows into Member States. This ‘juste retour’ mentality is a major obstacle to achieving more European added value through the EU budget. The deeper underlying cause of this misleading and detrimental net balance preoccupation is the high salience and political appeal of backflow policies, with their easily identifiable national and regional beneficiaries. Policies whose European benefits are more dispersed and do not entail payments into Member States do receive less voter and policy support.

Externe auteur

Friedrich Heinermann, Marta Pilati, Fabien Zuleeg

"I want my money back": The history of national rebates

19-02-2020

This document is a brief overview of the history of the own resources system and its rebates.

This document is a brief overview of the history of the own resources system and its rebates.

Externe auteur

Zareh Asatryan, Annika Havlik, Frierich Heinermann, Justus Nover, Marta Pilati

Accords internationaux en marche: Le futur partenariat de l’UE avec les pays d’Afrique, des Caraïbes et du Pacifique (« post-Cotonou »)

19-02-2020

L’accord de partenariat entre l’Union européenne et les pays d’Afrique, des Caraïbes et du Pacifique (ACP) devait expirer en février 2020. La renégociation de cet « Accord de Cotonou » offre l’opportunité de revoir les relations entre les pays ACP et l’Union en tenant compte des objectifs de développement durable des Nations unies, de la redéfinition des stratégies européennes dans les régions concernées, des nouvelles ambitions des pays ACP et de l’évolution de l’équilibre des pouvoirs au niveau ...

L’accord de partenariat entre l’Union européenne et les pays d’Afrique, des Caraïbes et du Pacifique (ACP) devait expirer en février 2020. La renégociation de cet « Accord de Cotonou » offre l’opportunité de revoir les relations entre les pays ACP et l’Union en tenant compte des objectifs de développement durable des Nations unies, de la redéfinition des stratégies européennes dans les régions concernées, des nouvelles ambitions des pays ACP et de l’évolution de l’équilibre des pouvoirs au niveau mondial. Le principal défi pour l’Union européenne est de maintenir ses relations dans les trois sous-régions, tout en restant fidèle aux valeurs promues dans les traités européens. La question du financement est également sur la table. Le groupe ACP et l’Union européenne ont adopté leurs mandats de négociation respectivement en mai et juin 2018 et les négociations ont débuté en septembre 2018. Les parties prenantes se sont accordées sur le principe d’un socle commun complété par trois protocoles régionaux. Ces négociations à plusieurs niveaux ainsi que les discussions en cours sur le futur budget de l’UE ont empêché de finaliser l’accord à temps. Afin d’éviter un vide juridique dans les relations après l’échéance prévue de l’accord de Cotonou, les dispositions de ce dernier ont été prolongées jusqu’au 31 décembre 2020 au plus tard. Quatrième édition. Les Briefings 'Accords internationaux en marche' sont actualisés à des étapes clés de la procédure de ratification. Versions précédentes de ce briefing : PE 625.111, juillet 2018, PE 630.280, novembre 2018, PE 637.981, juillet 2019.

CRR/CRD: The delegated act on Market Risk under CRR and other forthcoming delegated act in banking

19-02-2020

This first ECON scrutiny session continues the ECON’s discussions on CRD/CRR during the previous legislature and covers in particular the delegated act on market risk (C(2019) 9068). In addition, two forthcoming regulatory technical standards (RTS) are discussed, namely the RTS on mapping of derivative transactions on which the EBA has finalised its draft (EBA-RTS-2019-02), and the RTS on criteria to define managerial responsibility and control functions on which the EBA has started a consultation ...

This first ECON scrutiny session continues the ECON’s discussions on CRD/CRR during the previous legislature and covers in particular the delegated act on market risk (C(2019) 9068). In addition, two forthcoming regulatory technical standards (RTS) are discussed, namely the RTS on mapping of derivative transactions on which the EBA has finalised its draft (EBA-RTS-2019-02), and the RTS on criteria to define managerial responsibility and control functions on which the EBA has started a consultation (EBA/CP/2019/16).

Novel Coronavirus Outbreak - State of play with the epidemics; preparedness and response measurers

17-02-2020

Following the extraordinary Council meeting of health ministers on 13 February 2020, this paper summarises the latest available information on the novel coronavirus outbreak, and the Union’s preparedness and response actions. It is an extended and updated version of the “At a Glance” overview, published on 14 February 2020.

Following the extraordinary Council meeting of health ministers on 13 February 2020, this paper summarises the latest available information on the novel coronavirus outbreak, and the Union’s preparedness and response actions. It is an extended and updated version of the “At a Glance” overview, published on 14 February 2020.

The benefits of EU membership are not measured by net operating balances

19-02-2020

National operating budgetary balances (OBBs) do not take into account all of the economic and non-monetary benefits that Member States gain from EU membership. In many policy areas with cross-border characteristics and demand for critical mass, common action at the EU level may lead to better results than fragmented national initiatives. Several studies show that the Single Market has increased employment and growth. The effect of the Single Market deepening since 1990 has been quantified by 3.6 ...

National operating budgetary balances (OBBs) do not take into account all of the economic and non-monetary benefits that Member States gain from EU membership. In many policy areas with cross-border characteristics and demand for critical mass, common action at the EU level may lead to better results than fragmented national initiatives. Several studies show that the Single Market has increased employment and growth. The effect of the Single Market deepening since 1990 has been quantified by 3.6 million new jobs. Additionally, EU GDP would be 8.7% lower if there had been no Single Market integration. The average EU citizen gains €840 more per year thanks to the Single Market. While all EU citizens benefit from income gains thanks to the Single Market, these effects are higher for Western Europeans in absolute terms. Relative to GDP, gains and losses are more similar..

Externe auteur

Marta Pilati, Fabian Zuleeg

Why net operating balances are a distorted indicator of a Member State's benefit from the EU budget

19-02-2020

Operating budgetary balance (OBB) calculations imply that EU spending is a zero-sum game. This feature is inconsistent with the main argument that EU spending creates European added value. Thus, taking simple net operating balances as an indicator of a Member State’s ‘net benefit’ from the Union’s fiscal activities can lead to misleading results, as demonstrated in the following points of argument.

Operating budgetary balance (OBB) calculations imply that EU spending is a zero-sum game. This feature is inconsistent with the main argument that EU spending creates European added value. Thus, taking simple net operating balances as an indicator of a Member State’s ‘net benefit’ from the Union’s fiscal activities can lead to misleading results, as demonstrated in the following points of argument.

Externe auteur

Zareh Astryan, Annika Havlik, Friedrich heinermann, Justus Nover

Toekomstige activiteiten

20-02-2020
What is our political nature? Knowledge and reason in political decision-making
Diverse activiteiten -
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