The Greatest of the Small? The Netherlands, the New Hanseatic League and the Frugal Four

Abstract

How has the Netherlands sought to influence the redesign of Economic and Monetary Union (EMU) since the financial crisis? Based on the case studies of the ‘New Hanseatic League’ and the ‘Frugal Four’ this study finds, firstly, that the Netherlands chooses strategies of foot-dragging when initiatives are brought up to deepen integration when the Dutch prefer the status quo. Secondly, its strategy is more bargaining-based but at times also persuasion-based; the bargaining occurs in part because the Netherlands builds occasional alliances with like-minded member states to counterbalance the asymmetry of power between it and Germany. Finally, the Netherlands oscillates between trying to influence Germany directly and bypassing it by reaching out to like-minded member states on various dossiers and tempting them to declare their positions in advance.

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