The political economy under monetary union: Has the euro made a difference?

Economic Policy

Volumn 24, Issue 58, 2009, Pages 307-348

  Fratzscher, Marcel ^a   Stracca, Livio ^a  

^a EUROPEAN CENTRAL BANK   (Germany)

Author keywords

[No Author keywords available]

Indexed keywords

AUTONOMY; FISCAL POLICY; MONETARY POLICY; MONETARY UNION; POLITICAL ECONOMY;

EURASIA; EUROPE;

EID: 64349110095     PISSN: 02664658     EISSN: 14680327     Source Type: Journal    
DOI: 10.1111/j.1468-0327.2009.00219.x     Document Type: Article

References (36)

1. Alesina, A. and H. Rosenthal (1995). Partisan Politics, Divided Government and the Economy, New York: Cambridge University Press.
2. Alesina, A. and R. Perotti (1996). 'Income distribution, political instability, and investment', European Economic Review, 40(6), 1203-12.
3. Alesina, A., N. Roubini and G. Cohen (1997). Political Cycles and the Macroeconomy, Cambridge: MIT Press.
4. Andersen, T., T. Bollerslev, F. Diebold and C. Vega (2003). 'Micro effects of macro announcements: Real-time price discovery in foreign exchange', American Economic Review, 39(1), 38-62.
5. Andersen, T., T. Bollerslev, F. Diebold and C. Vega (2007). 'Real time price discovery in global stock, bond, and foreign exchange markets', Journal of International Economics, 73(2), 251-77.
6. Baele, L., A. Ferrando, P. Hördahl, E. Krylova and C. Monnet (2004). 'Measuring financial integration in the euro area', ECB Occasional Paper #14.
7. Baldwin, R.E. (2006). 'In or out: Does it matter? An evidence-based analysis of the euro's trade effects', CEPR.
8. Barro, R.J. (1991). 'Economic growth in a cross-section of countries', Quarterly Journal of Economics, 106, 407-43.
9. Bekaert, G. and C.R. Harvey (2004). A chronology of important financial, economic and political events in emerging markets', available at http://www.duke.edu/~charvey/Country_risk/chronology/ chronology_index.htm.
10. Bertola, G. and R. Caballero (1992). 'Target zones and realignments', American Economic Review, 82(3), 520-36.
11. Brown, S.J. and J.B. Warner (1985). 'Using daily stock returns: The case of event studies', Journal of Financial Economics, 14, 3-31.
12. Calvo, C.A. and C.M. Reinhart (2002). 'Fear of floating', Quarterly Journal of Economics, 117(2), 379-408.
13. Canova, F., M. Ciccarelli and E. Ortega (2006). 'Similarities and convergence of G-7 cycles', Journal of Monetary Economics, 54(3), 850-78.
14. Cappiello, L., A. Kadareja and S. Manganelli (forthcoming). 'The impact of the euro on equity markets', Journal of Financial and Quantitative Analysis.
15. Carmignani, F. (2003). 'Political instability, uncertainty and economics', Journal of Economic Surveys, 17(1), 1-54.
16. Coeurdacier, N. and P. Martin (2007). 'The geography of asset trade and the euro: Insiders and outsiders', CEPR Discussion Paper No. 6032.
17. Crowe, C. and E. Meade (2008). 'Central bank independence and transparency: Evolution and effectiveness', IMF Working Paper 08/119.
18. Cukierman, A., S.B. Webb and B. Neyapti (1992). 'Measuring the independence of central banks and its effect on policy outcomes', World Bank Economic Review, 6, 353-98.
19. De Santis, R. and B. Gerard (2006). 'Financial integration, international portfolio choice and the European Monetary Union', ECB Working Paper Series, No. 626.
20. Ehrmann, M. and M. Fratzscher (2005). 'Equal size, equal role? Interest rate interdependence between the euro area and the United States', Economic Journal, 115, 930-50.
21. Ehrmann, M., M. Fratzscher, R. Gürkaynak and E. Swanson (2007). 'Convergence and anchoring of yield curves in the euro area', CEPR Discussion Paper No. 6456.
22. Engel, C. and J.H. Rogers (2002). 'European product market integration after the euro', Economic Policy, 19, 347-84.
23. European Central Bank (2008). 1998-2008, Monthly Bulletin, 10th Anniversary of the ECB.
24. European Commission (2008). 'EMU0: Successes and challenges after 10years of Economic and Monetary Union', Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee, the Committee of the Regions and the European Central Bank.
25. Feldstein, M. (1997). 'The political economy of the European Economic and Monetary Union: Political sources of an economic liability', Journal of Economic Perspectives, 11(4), 23-42.
26. Frankel, J. and A. Rose (1997). 'Is EMU more justifiable ex post than ex ante?', European Economic Review, 41, 753-60.
27. Fratzscher, M. (2008). 'US shocks and global exchange rate configurations', Economic Policy, 23(54), 363-409.
28. Giavazzi, F. and F. Torres (eds.) (1993). Adjustment and Growth in the European Monetary Union, Cambridge: Cambridge University Press.
29. Guidolin, M. and E. La Ferrara (2005). 'The economic effects of violent conflict: Evidence from asset market reactions', Federal Reserve of St Louis, Working Paper No. 05/066A.
30. Gürkaynak, R., B. Sack and E. Swanson (2005). 'The sensitivity of long-term interest rates to economic news: Evidence and implications for macroeconomic models', American Economic Review, 95(1), 425-36.
31. Kaufmann, D., A. Kraay and M. Mastruzzi (2007). 'Governance matters VI: governance indicators for 1996-2006', World Bank Research Working Paper No. 4280.
32. Lane, P. (2006). 'Global bond portfolios and EMU', International Journal of Central Banking, 2(2), 1-23.
33. Rigobon, R. and B. Sack (2005). 'The effects of war risk on US financial markets', Journal of Banking and Finance, 29, 1769-89.
34. Rodrik, D., A. Subramanian and F. Trebbi (2004). 'Institutions rule: The primacy of institutions over geography and integration in economic development', Journal of Economic Growth, 9(2), 131-65.
35. Rogers, J. (2007). 'Monetary union, price level convergence, and inflation: How close is Europe to the USA?', Journal of Monetary Economics 53(3), 785-96.
36. Zussman, A. and N. Zussman (2006). 'Assassinations: Evaluating the effectiveness of an Israeli counter-terrorism policy using stock market data', Journal of Economic Perspectives, 20, 193-206.