48
Of course, with the advent of economic and monetary union, the Bundesbank no
longer has the capacity to discipline union members by threatening tighter monetary policies,
and the capacity of the European
central bank to do so is much lower now because
it
stands at one remove
from
the German economy (see Hall and Franzese 1998).
49
By ‘strategic capacity’, we mean the capacity to formulate a collective strategy for the
group and to mobilize support for it among the group. Typically, this entails highly articulated
organization.