Abstract
Both parts of the institution of “economic and monetary union” are constructed in different wayswithin European law. The economic part is built upon the decentralized structure of the European Union as a “community of states”; the monetary union is based upon the delegation of monetary powers from individualstates – their central banks – to the Union level.
Serious crises of functioning of such a model broughtup the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union. TSCG is part of a gradual strategy of the centralization of budgetary policy at the level of the European Union.
This strategy is built upon presumption that effective functioning of the monetary union must be supported by a centralbudget and central, or centralized, budgetary policy.