Jump to ContentJump to Main Navigation
The Institutionalization of Europe$
Users without a subscription are not able to see the full content.

Alec Stone Sweet, Wayne Sandholtz, and Neil Fligstein

Print publication date: 2001

Print ISBN-13: 9780199247967

Published to Oxford Scholarship Online: April 2004

DOI: 10.1093/019924796X.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 28 October 2021

Where Do Rules Come From? The Creation of the European Central Bank

Where Do Rules Come From? The Creation of the European Central Bank

(p.155) 8 Where Do Rules Come From? The Creation of the European Central Bank
The Institutionalization of Europe

Kathleen R. Mcnamara

Oxford University Press

An analysis is presented of the creation and development of rules governing the organizational form and the policy content of the European Central Bank (ECB). The establishment of the ECB and the launching of the Euro constitute an extraordinary innovation, one that opens and organizes a new institutional space in Europe. The ECB system is assessed in the light of three broad theoretical approaches emphasizing, respectively, power politics, institutions as rational solutions to collective problems, and pre-existing normative (social) structures. Power politics and functional rationality approaches are found to fail to account for important aspects of the ECB’s rules and policy mandates, while, in contrast, a sociological emphasis on institutional context is useful in explaining the continuities linking the ECB to the normative structure that had previously developed – largely within the network of central-bank governors – and diffused throughout the organizational field in which monetary policy-making was embedded. It was the need to legitimize the new ECB in terms of these broader norms that shaped the ECB’s organizational structure and governing rules: in particular, pre-existing norms influenced three key aspects of the ECB – its political independence, its criteria for membership, and its rules for price stability.

Keywords:   criteria for membership, European Central Bank, European policy, functional rationality, institutional creation, institutional innovation, institutional space, institutions as rational solutions, monetary policy, monetary union, normative structures, organizational rules, organizational structure, political independence, power politics, price stability, rule-making, social structures

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .