Stability through Deliberation: Finance and Public Law

Projekt Start:06/2016
Forscher:Matthias Goldmann, Grygoriy Pustovit
Kategorie: Financial Intermediation, Macro Finance
Finanziert von:Volkswagen Stiftung

The project investigates the relation between finance as an economic discipline and public law. Financial regulation casts economic knowledge into legal rules. However, economic knowledge is subject to permanent contestation and evolution. Legal rules are vague and might change their meaning over time. This can lead to interaction conflicts between economic knowledge and legal rules, as the recent financial crisis amply illustrates. Legal rules might lack the certainty which economic theories expect from them, while economic knowledge might not provide the guidance which the law ascribes to it. In the end, financial stability suffers. The project develops a theoretical approach to law and the place of economic knowledge in law that avoids this pitfall. It is based on a deliberative understanding of the law which sees a key function of law in the framing of decision-making processes. Economic knowledge provides deliberative input into these processes. The project applies this approach to eight case studies of interaction conflicts between finance and public law. They include comparative, European and international perspectives. Issue areas comprise debt and fiscal policy; monetary policy; financial market regulation; and taxation. For each case study, the project shows how a deliberative understanding of law might avoid or attenuate interaction conflicts. It develops legal principles which put the deliberative approach into practice in the respective areas, thus contributing to financial stability.

This project is funded by:

Zugehörige publizierte Papers

Juan Pablo Bohoslavsky, Matthias GoldmannSovereign Debt Sustainability as a Principle of Public International Law: An Incremental Approach to Sovereign Debt Restructuring
Yale Journal of International Law
2016 Financial Intermediation, Macro Finance sovereign debt restructuring, international law, collective action clauses, debt sustainability, legal principles, holdout creditors, holdout litigation
Matthias GoldmannInternational Investment Law and Financial Regulation: Towards a Deliberative Approach
International Investment Law and the Global Financial Architecture (Edward Elgar)
2017 Financial Intermediation, Macro Finance international investment law, financial regulation, deliberation, monetary policy, sovereign debt
Matthias Goldmann, Ingo Venzke, Armin von BogdandyFrom Public International to International Public Law: Translating World Public Opinion into International Public Authority
European Journal of International Law
2017 Financial Intermediation, Macro Finance international organizations, global governance, world public opinion, public authority, soft law
Matthias Goldmann, Silvia SteiningerA Discourse Theoretical Approach to Sovereign Debt Restructuring: Towards a Democratic Financial Order
German Law Journal
2016 Financial Intermediation, Macro Finance democracy, finance, role of law, discourse theory, Habermas, sovereign debt, cleavages
Matthias GoldmannForeign Investment, Sovereign Debt, and Human Rights
Sovereign Debt and Human Rights (Oxford University Press)
2018 Financial Intermediation, Macro Finance Foreign direct investment, regulatory power, expropriation, socio-economic rights, linkages

Zugehörige Working Papers

178Matthias GoldmannUnited in Diversity? The Relationship between Monetary Policy and Banking Supervision in the Banking Union2018 Financial Intermediation, Macro Finance Banking Union, Monetary Policy, Financial Stability, Single Supervisory Mechanism, Democratic Legitimacy

Related Policy Publications

Matthias GoldmannKarlsruhe Refers the QE Case to Luxembourg: Summer of Love
Policy Letter No. 58