This paper examines the law on the free movement of capital from the perspective of the interests of the Member States in European economic integration. It argues, in particular, that on the one hand, the Member States have expressed their commitment to an integrated and open capital market, and on the other, they made sure that their legal obligations recognised under the Treaties enable them to safeguard their economic and social interests competing with the free movement of capital. The development of the law, and the traditional intertwining between law and politics under Article 63 TFEU indicate that the Member State preserve for themselves the opportunity to contest on policy grounds the justifiability of the free movement of capital, and to moderate the local impact of integrated open captial markets.
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