European Disintegration?: Twin Troubles

Confidence in all European institutions is now at a record low, with levels of trust having dropped by ten percentage points on average since 2009. What explains the current lack of trust in European institutions, and how can that trust be restored? Four key reasons for the difficulties facing the EU and the eurozone today stand out: 1) Lack of a long-term solution for the euro crisis; 2) Unbalanced decision making in the EU; 3) Not enough choice for the European electorate; and 4) A need for realistic agendas. The Eurozone needs a workable long-term solution based on three main elements: a European Redemption Fund, selective federalism, and a banking union. In addition, the EU as a whole must come to terms with the reality of a two-speed integration process.