This paper explores inflation determinants within the EU and implications for new members'' euro adoption plans. Factor … analysis partitions observed inflation in EU25 countries into common-origin and country-specific (idiosyncratic) components …. Cross-country differences in common-origin inflation within the EU are found to depend on gaps in the initial price level …

United Kingdom, the euro area, and Japan during the recent crisis on interbank credit and liquidity risk premia …

Mechanism (ERM) of the European Monetary System can be expressed as a stable function of ERM-wide income, inflation, interest …