Leadership by Default: The ECB and the Announcement of Outright Monetary Transactions
JOURNAL ARTICLE
Cite JOURNAL ARTICLE
Style
Format
Leadership by Default: The ECB and the Announcement of Outright Monetary Transactions
Credit and Capital Markets – Kredit und Kapital, Vol. 51 (2018), Iss. 1 : pp. 73–91
15 Citations (CrossRef)
Additional Information
Article Details
Author Details
Dr. Magnus G. Schoeller, Institute for European Integration Research (EIF), University of Vienna, Apostelgasse 23, 1030 Vienna, Austria
Cited By
-
Weaponisation of finance: the role of European central banks and financial sanctions against Russia
Quaglia, Lucia | Verdun, AmyWest European Politics, Vol. 46 (2023), Iss. 5 P.872
https://doi.org/10.1080/01402382.2022.2155906 [Citations: 8] -
The European Central Bank, the Single Supervisory Mechanism and the COVID-19 related economic crisis: a neofunctionalist analysis
Quaglia, Lucia | Verdun, AmyJournal of European Integration, Vol. 45 (2023), Iss. 1 P.139
https://doi.org/10.1080/07036337.2022.2155640 [Citations: 9] -
Explaining the response of the ECB to the COVID-19 related economic crisis: inter-crisis and intra-crisis learning
Quaglia, Lucia | Verdun, AmyJournal of European Public Policy, Vol. 30 (2023), Iss. 4 P.635
https://doi.org/10.1080/13501763.2022.2141300 [Citations: 32] -
Supranational agency and indirect governance after the Euro crisis: ESM, ECB, EMEF and EFB
Tesche, Tobias
Journal of Contemporary European Studies, Vol. 28 (2020), Iss. 1 P.114
https://doi.org/10.1080/14782804.2019.1677575 [Citations: 8] -
Trustee strategies, politicization and de‐delegation: The case of the European Central Bank
Tesche, Tobias
Governance, Vol. 36 (2023), Iss. 1 P.125
https://doi.org/10.1111/gove.12755 [Citations: 6] -
Explaining the European Central Bank’s limited reform ambition: ordoliberalism and asymmetric integration in the eurozone
Warren, Thomas
Journal of European Integration, Vol. 42 (2020), Iss. 2 P.263
https://doi.org/10.1080/07036337.2019.1658753 [Citations: 3] -
The Political Role of the European Central Bank: Between European Politics and National Constraints
Heidebrecht,, Sebastian | Kaeding, MichaelCredit and Capital Markets – Kredit und Kapital, Vol. 51 (2018), Iss. 1 P.1
https://doi.org/10.3790/ccm.51.1.1 [Citations: 2] -
The power of expertise: gauging technocracy in EMU reform negotiations
Tortola, Pier Domenico | Tarlea, SilvanaJournal of European Public Policy, Vol. 28 (2021), Iss. 12 P.1950
https://doi.org/10.1080/13501763.2020.1815824 [Citations: 5] -
Working up the six-pack: Bargaining success in the European Council's task force on strengthening economic governance
Moloney, David | Whitaker, RichardEuropean Union Politics, Vol. 24 (2023), Iss. 3 P.559
https://doi.org/10.1177/14651165231157601 [Citations: 1] -
The politicisation of the European Central Bank and its emergency credit lines outside the Euro Area
Spielberger, Lukas
Journal of European Public Policy, Vol. 30 (2023), Iss. 5 P.873
https://doi.org/10.1080/13501763.2022.2037688 [Citations: 10] -
Theoretical perspectives on the new era of central banking
Fontan, Clément | Carré, Emmanuel | L’Oeillet, GuillaumeFrench Politics, Vol. 16 (2018), Iss. 4 P.453
https://doi.org/10.1057/s41253-018-0067-8 [Citations: 3] -
The Politicization of the European Central Bank: What Is It, and How to Study It?
Tortola, Pier Domenico
JCMS: Journal of Common Market Studies, Vol. 58 (2020), Iss. 3 P.501
https://doi.org/10.1111/jcms.12973 [Citations: 14] -
The European Central Bank: From a Price Stability Paradigm to a Multidimensional Stability Paradigm
Quaglia, Lucia | Verdun, AmyPolitics and Governance, Vol. 13 (2024), Iss.
https://doi.org/10.17645/pag.8920 [Citations: 0] -
From one crisis to another: the European central bank’s role from the great recession to the Ukraine war
Chesini, Giusy | Fauri, FrancescaConstitutional Political Economy, Vol. (2024), Iss.
https://doi.org/10.1007/s10602-024-09441-4 [Citations: 0] -
Instrumentalizing EMU’s democratic deficit: the ECB’s unconventional accountability measures during the eurozone crisis
Tesche, Tobias
Journal of European Integration, Vol. 41 (2019), Iss. 4 P.447
https://doi.org/10.1080/07036337.2018.1513498 [Citations: 19]
Abstract
Starting from the striking effect of the ECB"s announcement of Outright Monetary Transactions, this paper examines why and how the ECB emerged as a leader in fighting the Eurozone crisis. Based on a rational institutionalist approach to political leadership, the paper argues that the ECB emerged as a leader because the benefits of preserving the common currency and thus its own existence outweighed the high costs of its politicization. Against the backdrop of superior power resources, homogeneous preferences, and a low institutional constraint, the ECB provided leadership by combining two strategies – namely the provision of common knowledge and unilateral action – which provided it with a first-mover advantage. As a result, the paper argues that the ECB acted as a „leader by default" rather than a power-maximizer. Instead of engaging in a competition about political influence with member states, the ECB refrained from taking the lead as long as possible because it shied away from the high costs that were connected to it. Only once it became clear that it would not be possible to free-ride on the leadership of any other actor, the ECB finally stepped in and assumed leadership.
Table of Contents
| Section Title | Page | Action | Price |
|---|---|---|---|
| Magnus G. Schoeller: Leadership by Default. The ECB and the Announcement of Outright Monetary Transactions | 1 |