CEPS Research Report in Finance and Banking, No. 33, 34 pages
One of the fundamental aims of the European Union is to construct an internal market, composed of the home markets of all member states. In order to achieve this, member states have delegated significant powers to supranational community institutions: the European Commission, the European Court of Justice and the European Parliament. At the same time, however, member states subject that delegation of power to significant constraints and retain a considerable amount of responsibility for policies that may affect the running of the internal market. This
tension lies at the heart of all discussions concerning the distribution of competence in all policy areas between the European Union on the one hand and the member state authorities on the other hand, and is especially present in securities market regulation.