The future of EMU / edited by Leila Simona Talani.

Format:

Book

Contributor:

Talani, Leila Simona.

Language:

English

Subjects (All):

Economic and Monetary Union.

European Union.

Eurozone.

Monetary unions--Europe.

Monetary unions.

Europe--Economic integration.

Europe.

Physical Description:

xiv, 210 pages : illustrations, plans ; 23 cm

Other Title:

Future of European Monetary Union

Place of Publication:

Basingstoke [England] ; New York : Palgrave Macmillan, 2009.

Summary:

Amongst the numerous issues surrounding European integration, perhaps there is none more fascinating than European monetary integration. The establishment of a European currency union and the adoption of the Euro are arguably the two most important accomplishments of the EU. And yet monetary union entails huge economic, political and social consequences for political economy in Europe and beyond. As European integration continues apace, the future of EMU becomes ever more important. Can EMU help create a strong and integrated European community, or will it prove a hindrance to the EU project?

This book brings together the most established experts in the area to provide a comprehensive interdisciplinary perspective on the issues expected to face EMU over the next few decades, and to propose solutions to the challenges which may arise. As well as offering new and insightful contributions to the integration debate, the book is also policy-oriented, and aims to assess the future impact of EMU on various EU policy areas, such as trade policy and fiscal policy, and also its impact on political union and labour markets. With a wealth of fresh and innovative interdisciplinary perspectives on the future of EMU and on the EU integration process as a whole, this fascinating book is an essential companion for all wishing to gain a greater understanding of the challenges facing European integration in the decades to come, and the part which EMU will play in the future of Europe.

Contents:

Introduction / Leila Simona Talani 1

1 Some Thoughts on Monetary and Political Union / Paul De Grauwe 9

1 Introduction 9

2 The many dimensions of a political union 10

3 The theory of optimum currency areas and political union 11

4 How does political integration affect the optimality of a monetary union? 13

5 Asymmetric shocks and lack of political union 15

6 Criticism of the traditional OCA theory 18

7 Comparing the two views 19

8 A preliminary evaluation 21

9 The institutional weakness of the present euro-zone governance 22

10 Conclusion: the need for further political integration 24

2 European Fiscal Policy Co-ordination and the Persistent Myth of Stabilization / Erik Jones 29

1 Introduction 29

2 Stabilization and adjustment 30

3 Fiscal stabilization 42

4 International fiscal stabilization 47

5 Where do we go from here? 49

3 The Role of Preferences and the Sustainability of EMU / Francisco Torres 54

1 Introduction 54

2 Two divergent views on the means to achieve monetary integration in Europe 55

3 Converging preferences on inflation and the role of monetary policy 57

4 The first test to the commitment to exchange rate and price stability 60

5 A framework of analysis for the sustainability of EMU 62

6 Endogenous preferences 66

7 Conclusion 69

4 Globalization vs. Europeanization: Assessing the Impact of EMU on Business Cycle Affiliation / Michael Artis 75

1 Introduction 75

2 Is there a European business cycle? 76

3 Measuring business cycle affiliations 77

4 Clustering 78

5 Globalization vs. Europeanization? 82

6 Conclusion 86

5 EMU and the Euro-Mediterranean Dialogue: Trade Interdependence between Mediterranean and Euro-area Countries / Giorgio Fazio 89

1 Introduction 89

2 Currency unions and trade integration south of the Mediterranean 90

3 The Barcelona Conference and the Euro-Mediterranean Partnership 92

4 A simple empirical evaluation 94

5 Data 97

6 Results 97

7 Conclusion 104

Data Appendix 105

6 In and Out of Monetary Unions: Lessons From, and Risks For the EMU. An Alternative Approach to Monetary Unions / Antimo Verde 110

1 Introduction 110

2 The evolution of the OCA theory 112

3 A new conceptual scheme: the basic steps 116

4 The model 123

5 The model simulations: the two-speed Europe 134

6 Concluding remarks: the future of EMU and the OCA theory 139

7 EMU and the Quest for Competitiveness / Leila Simona Talani 144

1 Introduction 144

2 The quest for competitiveness in theory 145

3 Conclusion: the future of EMU. Structural reforms and the crisis of the SGP 156

8 The Lisbon Strategy, Macroeconomic Stability and the Dilemma of Governance with Governments (Or Why Europe Is Not Becoming the World's Most Dynamic Economy) / Stefan Collignon 161

1 Introduction 161

2 Where the Lisbon Strategy is failing 162

3 The flawed macroeconomic and institutional framework 175

4 Conclusion 188

9 Conclusion: the Future of EMU / Leila Simona Talani 194.

Notes:

Includes bibliographical references (pages [198]-210) and index.

ISBN:

9780230218413

0230218415

OCLC:

244417314