‘Show me the money!’ - The Changing Dynamics of Economic Governance in the European Union

This introduction examines the ongoing transformation of economic governance in the European Union over the past decade. It argues that a series of crisis-driven reforms – most notably, the creation of the Recovery and Resilience Facility, the expansion of EU fiscal capacity, and the growing emphasis on industrial policy and economic security – have collectively reshaped the EU’s macroeconomic framework. While these developments do not constitute a coherent grand design, their cumulative effect amounts to a significant shift in governance practices at both the EU and national levels. The article identifies key structural and political pressures underpinning this transformation, including sluggish growth, socio-economic inequalities, the green and digital transitions, geoeconomic competition, and rising political fragmentation. It highlights an increasing reliance on flexible, adaptive instruments and a strengthening of executive and technocratic authority. The contributions to the special issue introduced by this paper explore these dynamics in greater detail, offering insights into the evolving balance among integration, responsiveness, and legitimacy in EU economic governance.