The article analyses the behavior of an open economy in which wages are fully indexed to prices. It specifically deals with the dynamics of inflation, aggregate demand, balance-of-payments deficits and the public budget deficit.

This article is a reprint of a speech by Tommaso Padoa-Schioppa, Minister of Economic Affairs and Finance of Italy and former member of the Executive Board of the European Central Bank, on April 3, 2006, at quot;Issues Related to Central Counterparty Clearing,quot; a joint conference of the...

Tommaso Padoa-Schioppa was one of the great architects of the euro. He is remembered in particular as co-rapporteur for the Delors Committee and as a founding member of the European Central Bank's Executive Board. For Padoa-Schioppa, becoming Director-General of the European Commission's DG II...

The paper examines the relationship between banking and securities activities in the light of financial market developments (securitisation, institutionalization of investment, emergence of complex financial instruments, conglomeration and consolidation), with particular reference to Europe. The...