Table Of ContentTHE EUROPEANIZATION OF GREECE
The Europeanization of
Greece
Interest Politics and the Crises of
Integration
Kostas A. Lavdas
Lecturer in Politics and Faculty Research Fellow
University of the West of England
Bristol
First published in Great Britain 1997 by
MACMILLAN PRESS LTD
Houndmills, Basingstoke, Hampshire RG21 6XS and London
Companies and representatives throughout the world
A catalogue record for this book is available from the British Library.
ISBN 978-1-349-25874-1 ISBN 978-1-349-25872-7 (eBook)
DOI 10.1007/978-1-349-25872-7
First published in the United States of America 1997 by
ST. MARTIN'S PRESS, INC.,
Scholarly and Reference Division,
175 Fifth Avenue, New York, N.Y. 10010
ISBN 978-0-312-17463-7
Library of Congress Cataloging-in-Publication Data
Lavdas, Kostas A., 1964-
The Europeanization of Greece : interest politics and the crises
of integration / Kostas A. Lavdas.
p. Col.
Includes bibliographical references and index.
ISBN 978-0-312-17463-7 (cloth)
I. European Economic Community-Greece. 2. European Union
-Greece. 3. Corporate state-Greece. 4. Greece-Politics and
government. I. Title.
HC241.25.G8L39 1997
337.40495-DC21 97-5318
CIP
© Kostas A. Lavdas 1997
Softcover reprint of the hardcover 1st edition 1997
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10 9 8 7 6 5 4 3 2 I
06 05 04 03 02 01 00 99 98 97
To
Maria, Stella,
Alexandros and Antonis
Contents
List of Tables ix
List of Figures x
Preface and Acknowledgements xi
List of Abbreviations xiii
1 Introduction 1
2 The Theoretical Terrain 8
2.1. State Structures and Interest Politics 10
2.2. European Integration as an Evolving Framework 28
2.3. Concepts and Debate Parameters in the Greek
Literature 47
3 Political Economy and Disjointed Corporatism in
Greece 57
3.1. Political Economy: The Main Parameters 57
3.2. The Organization of Interests 66
3.3. The Greek Public Policy Pattern 86
4 Crisis of Strategy 93
4.1. The Association Regime and Organized Industrial
Interests, 1959-1967 99
4.2. The Reopening of Membership Negotiations,
1974-79 126
4.3. The Greek Application and the Business View 138
5 Crisis of Adjustment 147
5.1. The First PASOK Government and the Avoidance
of Adjustment 148
5.2. The Early Approach to the EC 155
5.3. The Stabilization Programme and Government-
Business Rapprochement 170
6 Crisis of Policy 186
6.1. The European Control of State Subsidization 189
6.2. The Privatization Imperative 201
6.3. Structural Policy and Regional Administrative
Reform 213
vii
viii Contents
7 Conclusion 242
Notes 256
Bibliography 297
Index 330
List of Tables
2.1 Integration theories and key features 29
2.2 Models of EC politics 45
2.3 European policy types 46
3.1 Divergence of GDP per capita, 1960-90 58
3.2 Greek gross manufacturing investment in comparative
European perspective 60
3.3 Industrial gross value-added, 1989 61
3.4 Earnings of industrial workers, 1990 64
3.5 Trade union membership '71
4.1 Structural changes in the Greek economy 104
5.1 Evolution of industrial establishments 150
6.1 Actors in the development of EC structural policy 221
6.2 EC budget commitments by category of expediture 223
ix
List of Figures
3.1 Greek exports-imports 62
3.2 Categories of government expenditure 65
5.1 Manufacturing investment and profitability 175
6.1 Public enterprises in the EU 188
6.2 Public debt as a percentage of GDP 189
x
Preface and
Acknowledgements
When I began research for this book back in 1991, my main concern
was the possibilities for more coherent, organized and consensual
policy-making in Greece, especially in view of the country's challen
ging participation in the process of European integration. What would
be the impact of EC membership on a small state with an open but
politicized economy and incoherent and relatively inefficient adminis
trative structur.es? Looking at changing patterns of relations between
the state and organized business interests appeared to be both theore
tically stimulating and empirically promising. The book took me
longer to complete than I originally intended, due to various other
research, teaching, administrative and personal tasks which kept inter
fering. Yet policy analysis of the Greek case is still in its infancy,
despite the existence of rigorous literatures on Greece from the socio
logical, historical and party-political perspectives. In this sense my aim
has been to contribute a conceptual and empirical interpretation of
the politics of Greece's transitional political economy from a new
perspective.
Research for the book is based on extensive reading of primary and
secondary sources and a series of interviews conducted in Athens,
Brussels and Thessaloniki with policy-makers and key business fig
ures. In the course of doing research for this book and actually writing
it I accumulated a number of intellectual debts. First of all, I am
indebted to the persons whom I interviewed in Athens, Brussels and
Thessaloniki. Many thanks are also due to the staff at the SEV in
Athens, the Library of the Greek Parliament, the National Library in
Athens and the BLPES at the LSE. Parts of this book have been
presented at the 1995 and 1996 Annual Conferences of the Political
Studies Association of the UK, the Center for European Studies at
Harvard University, and the Politics Departmental Seminar at UWE,
and I would like to record my gratitude to the participants for their
comments and their queries.
I am particularly grateful to those whose comments or advice
influenced my views on the subject and contributed to various aspects
xi
