The Political Economy of the European Economic and Monetary Union: Political Sources of an Economic Liability / Martin Feldstein.

Format:

Book

Author/Creator:

Feldstein, Martin.

Contributor:

National Bureau of Economic Research.

Series:

Working Paper Series (National Bureau of Economic Research) no. w6150.

NBER working paper series no. w6150

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

The Political Economy of the European Economic and Monetary Union

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1998.

Summary:

EMU would be an economic liability. A single currency would cause at most small trade and investment gains but would raise average cyclical unemployment and would probably raise inflation, perpetuate structural unemployment, and increase the risk of protectionism. EMU is nevertheless being pursued in order to create a political union. Fundamental disagreements among member states about economic policies, foreign and military policies, and the sharing of political power are likely to create future intra-European conflicts. A united Europe would be a formidable participant in the 21st century's global balance of power, with uncertain consequences for world stability and peace.

Notes:

Print version record

February 1998.