Takagi, Shinji; Shintani, Mototsugu; Okamoto, Tetsuro - Vanderbilt University Department of Economics - 2003
Data from Okinawa's monetary union with the United States in 1958 and with Japan in 1972 are used to obtain a quantitative indication of how monetary union might affect the behavior of nominal and real shocks across two economies. With monetary union, the variance of the real exchange rate...