The importance of International Developments in the case-law of the European Court of Justice: Kadi and the autonomy of the EC legal order. Research Papers in Law, 1/2009

From the Introduction. In the USA, the debate is still ongoing as to whether and to what extent the Supreme Court could or should refer to foreign precedent, in particular in relation to constitutional matters such as the death penalty.1 In the EU, in particular the recent Kadi case of 20082 has triggered much controversy,3 thereby highlighting the opposite angle to a similar discussion. The focus of attention in Europe is namely to what extent the European Court of Justice (hereafter “ECJ”) could lawfully and rightfully refuse to plainly ‘surrender’ or to subordinate the EC legal system to UN law and obligations when dealing with human rights issues. This question becomes all the more pertinent in view of the fact that in the past the ECJ has been rather receptive and constructive in forging interconnectivity between the EC legal order and international law developments. A bench mark in that respect was undoubtedly the Racke case of 1998,4 where the ECJ spelled out the necessity for the EC to respect international law with direct reference to a ruling of the International Court of Justice. This judgment which was rendered 10 years earlier than Kadi equally concerned EC/EU economic sanctions taken in implementation of UN Security Council Resolutions. A major question is therefore whether it is at all possible, and if so to determine how, to reconcile those apparently conflicting judgments.

Asset-backed securities: The key to unlocking Europe's credit markets? Bruegel Policy Contribution 2014/07, 24 July 2014

The European market for asset-backed securities (ABS) has all but closed for business since the start of the economic and financial crisis. ABS (see Box 1) were in fact the first financial assets hit at the onset of the crisis in 2008. The subprime mortgage meltdown caused a deterioration in the quality of collateral in the ABS market in the United States, which in turn dried up overall liquidity because ABS AAA notes were popular collateral for inter-bank lending. The lack of demand for these products, together with the Great Recession in 2009, had a considerable negative impact on the European ABS market. The post-crisis regulatory environment has further undermined the market. The practice of slicing and dicing of loans into ABS packages was blamed for starting and spreading the crisis through the global financial system. Regulation in the post-crisis context has thus been relatively unfavourable to these types of instruments, with heightened capital requirements now necessary for the issuance of new ABS products. And yet policymakers have recently underlined the need to revitalise the ABS market as a tool to improve credit market conditions in the euro area and to enhance transmission of monetary policy. In particular, the European Central Bank and the Bank of England have jointly emphasised that: “a market for prudently designed ABS has the potential to improve the efficiency of resource allocation in the economy and to allow for better risk sharing... by transforming relatively illiquid assets into more liquid securities. These can then be sold to investors thereby allowing originators to obtain funding and, potentially, transfer part of the underlying risk, while investors in such securities can diversify their portfolios... . This can lead to lower costs of capital, higher economic growth and a broader distribution of risk” (ECB and Bank of England, 2014a). In addition, consideration has started to be given to the extent to which ABS products could become the target of explicit monetary policy operations, a line of action proposed by Claeys et al (2014). The ECB has officially announced the start of preparatory work related to possible outright purchases of selected ABS1. In this paper we discuss how a revamped market for corporate loans securitised via ABS products, and how use of ABS as a monetary policy instrument, can indeed play a role in revitalising Europe’s credit market. However, before using this instrument a number of issues should be addressed: First, the European ABS market has significantly contracted since the crisis. Hence it needs to be revamped through appropriate regulation if securitisation is to play a role in improving the efficiency of resource allocation in the economy. Second, even assuming that this market can expand again, the European ABS market is heterogeneous: lending criteria are different in different countries and banking institutions and the rating methodologies to assess the quality of the borrowers have to take these differences into account. One further element of differentiation is default law, which is specific to national jurisdictions in the euro area. Therefore, the pool of loans will not only be different in terms of the macro risks related to each country of origination (which is a ‘positive’ idiosyncratic risk, because it enables a portfolio manager to differentiate), but also in terms of the normative side, in case of default. The latter introduces uncertainties and inefficiencies in the ABS market that could create arbitrage opportunities. It is also unclear to what extent a direct purchase of these securities by the ECB might have an impact on the credit market. This will depend on, for example, the type of securities targeted in terms of the underlying assets that would be considered as eligible for inclusion (such as loans to small and medium-sized companies, car loans, leases, residential and commercial mortgages). The timing of a possible move by the ECB is also an issue; immediate action would take place in the context of relatively limited market volumes, while if the ECB waits, it might have access to a larger market, provided steps are taken in the next few months to revamp the market. We start by discussing the first of these issues – the size of the EU ABS market. We estimate how much this market could be worth if some specific measures are implemented. We then discuss the different options available to the ECB should they decide to intervene in the EU ABS market. We include a preliminary list of regulatory steps that could be taken to homogenise asset-backed securities in the euro area. We conclude with our recommended course of action.

Die proto-konstitutionelle Etablierung der europäischen Innenpolitik, Rückblick und Ausblick auf Bedingungen föderaler Ordnung in Europa = The proto-constitutional establishment of European domestic policy. Review and outlook on conditions of federal order in Europe. ZEI Discussion Paper C225, 2014

ZEI Director Prof. Ludger Kühnhardt recalls the leading ideas of federalism as territorial equivalent for political pluralism. Celebrating the 80th anniversary of Bonn historian and political scientist Prof. Dr. Hans-Peter Schwarz, he reflects on the emerging EU domestic policies in ZEI Discussion Paper C 225.

Towards a balanced contribution of household credit to the economy. CEPS-ECRI Task Force Report, May 2015

While policy-makers are creating conditions to strengthen recovery, the debate on the role that retail finance should play in this respect focuses on corporate loans rather than on household credit. The improvement of financing conditions for firms in order to support further investment spending is certainly essential to ensuring sustainable growth. However, a significant part of EU growth will depend on the behaviour of households and on their ability to secure funding for their consumption and investment. It is therefore essential to place further emphasis on the different options available to stimulate household credit, in particular consumer loans. Nevertheless, in order to avoid past mistakes, regulators should continue to develop a framework where consumer loans (and by extension household credit) contributes to the economy in a balanced way. To achieve this, five main issues need to be addressed further.

Report regarding investigation directed to be made by the President in his Executive order of November 27, 1933, approving the Code of fair competition for the motion picture industry.

Mode of access: Internet.

The federal farm loan system, new method of farm mortgage finance, under national supervision; a practial manual upon organizing and conducting national farm loan associations, also joint stock land banks. Showing how farmers, investors, bankers and the public may obtain the fullest benefit of the system.

Mode of access: Internet.

The Work and words of the National Congress of Mothers.

"Including the journal of proceedings, the addresses and discussions, and other miscellany of the meetings."

Evaluation of diagnostic analysis and test equipment for small automotive repair establishments. A report to the Congress.

Mode of access: Internet.

Investigation of the flow over simple bodies at Mach numbers of the order of 20 /

"It is shown that adequate means are available for calculating inviscid direct and induced pressures on simple axisymmetric bodies at zero angle of attack. The extent to which viscous effects can alter these predictions is indicated. It is also shown that inviscid induced pressures can significantly affect the stability of blunt, two-dimensional flat wings at low angles of attack. However, at high angles of attack, the inviscid induced pressure effects are negligible."

XVII and XVIII century American furniture and contemporary decorations, comprising the collection exhibited, during the summer at King Hooper mansion, Marblehead., Mass., owned and operated by King Hooper, Inc. Also choicest specimens from the collection of Hyman Kaufman, Boston, and the collection of silver of Herbert Lawton, Boston, sold by their order; unrestricted public auction sale, Thursday, Friday and Saturday, December 3rd, 4th and 5th, 1931 ...

"Sale number twenty-two."

Credit department operating manual outline,

Cover title.

A numerical model for shoaling and refraction of second-order cnoidal waves over an irregular bottom /

Mode of access: Internet.

Plane curves of the third order /

Includes bibliographical references and index.

Study of furnishings alternatives : Slateford Farm, Delaware Water Gap National Recreation Area, Pennsylvania /

"NPS D-68"--P. [3] of cover.

New car assessment supplemental data - task order 4. Final report.

National Highway Traffic Safety Administration, Accident Investigation Division, Washington, D.C.