Causes and Consequences of the Recent European Crisis: Can Polanyi help us understand problems of the Eurozone?

Authors : Mine Kara

Pages : 37-49

Doi:10.20991/allazimuth.167326

View : 53 | Download : 11

Publication Date : 2014-08-29

Article Type : Research Paper

Abstract :By evoking economic turmoil in Europe, the global crisis of 2007-2008 had important impacts on the economic and political integration of the European Union insert ignore into journalissuearticles values(EU);, leading to a reassessment of the relationship between the core– periphery countries and the model of the ‘democratic European welfare state.’ Most studies that address this problem in the EU focus on the fiscal mismanagement and welfare policies of the non-core or periphery countries insert ignore into journalissuearticles values(i.e. Greece); as the main culprit. Unlike the mainstream ideas, this paper explains the recent European crisis as a result of the liberalization and deregulation process that started with the second globalization wave in the 1970s. This paper also questions whether the recent radical nationalist trend in the EU countries can be explained as a byproduct of the crisis, using Polanyi’s notion of “double movement”.
Keywords : European crisis, Eurozone, Polanyi, double movement, swings of the pendulum

ORIGINAL ARTICLE URL