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DOI: 10.14254/2071789X.2018/11-3/4 ABSTRACT. The paper studies the reform package proposed by the European Commission on 6 December 2017. First, institutional and economic implications of the reform proposal are analysed. The paper finds that some proposals are beyond the present Treaty provisions. For instance, the proposal of a fiscal capacity does not tackle the economic root causes without a supranational transfer mechanism. In fact, the proposed budget neutrality over the medium-term is unfeasible due to cross-country heterogeneity in the Eurozone. At the end, the paper develops policy conclusions.

Reforming the Eurozone: Assessment of the Reform Package by the European Commission – Treating Symptoms or Root Causes?