Europe's gamble
Article Abstract:
The introduction of a single European currency, the euro, which is scheduled on January 1, 1999, would include eleven countries such as France, Germany, Benelux, Portugal, Italy, and Finland. A single currency would theoretically result in advantages such as lesser transaction costs, a reduction in exchange rate fluctuations, and better credibility. However, uncertainty in its success remains due to the macroeconomic problems in member countries which cannot be solved by the introduction of a single currency. The plan involves much risk and can only be alleviated if countries initiate political reforms in their fiscal and labor markets.
Publication Name: Brookings Papers on Economic Activity
Subject: Economics
ISSN: 0007-2303
Year: 1997
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What does monetary policy do?
Article Abstract:
A group of researchers is working on the possibility of a model that is useful both in choosing an economic policy and in making economic forecasts. The traditional assumption is that a single model is not workable for both, but research is being done on a model that utilizes an advanced statistical technique for evaluating policy and its effects on the economy.
Publication Name: Brookings Papers on Economic Activity
Subject: Economics
ISSN: 0007-2303
Year: 1996
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