Ewijk, Saskia E. van; Arnold, Ivo J.M. - In: Economic Modelling 44 (2015) C, pp. 335-342
firstly, business cycle synchronization, and secondly, long-term economic convergence. To measure the impact on business cycle … synchronization, we include intra-European bank capital flows in a New-Keynesian IS equation for the euro area. Second, we use the …, housing prices and net bank capital flows. Our results indicate that since the introduction of the euro, financial integration …