In this paper, sound public finances under the euro means sustainability in the long term instead of short- and medium …-term fiscal discipline. The challenges to sustainability are identified for the four largest euro area member states, and several … resort for a euro area government under liquidity shortage to prevent it from developing into a general financial crisis …

This paper studies the reaction of the mean and volatility of the euro-dollar exchange rate to statements of ECB … officials during the first years of EMU. We focus on statements on monetary policy and the (potential) strength of the euro. We …. In some cases there are effects of statements on the level of the euro-dollar rate. Efforts to talk up the euro have not …

This paper provides evidence on whether the creation of the euro has changed the way global turbulences affect euro … area and other economies. Specifically, it considers the impact of global shocks on the competitiveness of individual euro … over 60 countries' real effective exchange rates, including those of the individual euro area economies, and compares …

This paper examines the degree of fragmentation in the Euro overnight unsecured money market during the period June … bank risk, we document several episodes of significant market fragmentation. While non-standard measures such as the … provision of long-term liquidity were successful in reducing tensions, considerable signs of market fragmentation remained at …

euro area, including the most recent developments during the coronavirus crisis. Several financial transmission channels … of euro area central banks are identified. It is found that differing fiscal policy stances which have interacted … the euro area. Since the European financial and debt crisis, public financing mechanisms and the unconventional monetary …

characteristics? Based on a common source of balance sheet data for the four largest economies of the euro area over the period 1999 … homogeneous in France, where the banking industry has a higher degree of market concentration. Second, there is some evidence that …

In the current low interest rate environment in the euro area there is potential for a sudden increase in interest … rates and heightened interest rate risk (IRR). By using a sample of 81 euro area banks during the period 2014Q4-2018Q1 and a … the European Central Bank (ECB) reveal greater IRR exposure. These findings advance the debate on the impact on euro area …

balances, the common monetary policy may not be optimal for all of them. Euro area imbalances for potential output and for …

bond markets and improved economic sentiment, as reflected in higher equity prices. In contrast, passive euro liquidity … provision and even active measures (policy rate reductions and bond market interventions) delivered modest results. Although …. Overall, the results point to the ECB's limits in helping improve financial market's sentiment. …

The conflicting standpoints on reforming the euro are creating more controversies than practical results. Mistrust …, reforming the euro successfully calls for a convincing high-level commitment to preserve the euro also in unexpected …