What is the optimal institutional structure for an independent central bank? The paper shows when it will be optimal for a country to have a central bank to be organized according to federal, purely national or a combination of both aspects. The analysis is then extended to a supranational...

The paper addresses the question what effects the enlargement of a monetary union will have on necessary structural reforms in the (low distortion) member countries and the (high distortion) candidate countries. While monetary union lowers reforms in the candidate countries, members of the...

The enlargement of the European Monetary Union is likely to lead to an increase in uncertainty regarding the transmission of monetary policy for the larger union. Adding new members to the central bank council will in addition imply that the policy reaction of the enlarged council will be...

The paper analyzes under what circumstances policymakers experiment with policies with uncertain outcomes, when they prefer to imitate policies initiated in other countries, and when they prefer to coordinate policies internationally. Policymakers have private costs of active policies and...

The paper addresses the question what effects the enlargement of a monetary union will have on necessary structural refoms in the (low distortion) member countries and the (high distortion) candidate country. While monetary union lowers reforms in the candidate country, members of the monetary...

Lateinamerikas Wirtschaft stagniert. Die politische Unsicherheit in den wichtigsten Ökonomien, der schwächere Welthandel und die Handelsstreitigkeiten drücken die Wachstumsprognosen. Die Länder verlieren weiter den Anschluss im weltweiten Vergleich. Entwickelt sich Südamerika vom...

Germany prides itself in having one of the most successful central banks and currencies with respect to independence and stability. I show that not only were both imposed on the country after 1945 but that there was also initial resistance to both among German experts and officials. This is a...

Seit den siebziger Jahren werden Sanktionen von Nichtregierungsorganisationen und kirchlichen Gruppen gefordert, um Menschenrechte und Demokratie in einzelnen Staaten durchzusetzen. Es wird erwartet, dass Sanktionen - je nach Sachstand in dem betroffenen Land - Regierungen, politische Parteien,...