We scrutinize the role of capital flows for competitiveness in seven euro-area countries in the context of real … convergence and crisis with a specific focus on Greece. The paper extends the seminal Balassa-Samuelson model to include … productivity increases in Greece. …

Macroeconomic adjustment in the euro area periphery was more recessionary than pre-crisis imbalances would have … warranted. To make this claim, this paper uses a Propensity Score Matching Model to produce counterfactuals for the Eurozone … crisis countries (Greece, Portugal, Ireland, Cyprus, Spain) based on over 200 past macroeconomic adjustment episodes between …

Poland is obligated to adopt the euro after the fulfilment, inter alia, of the exchange rate criterion which requires … entering the Exchange Rate Mechanism II (ERM II). The European Central Bank recommends that the ERM II central rate should … estimate real Polish zloty/euro equilibrium rate. Although the main goal of our analysis is to compute measures of current and …

While the financial protection measures enacted by the ECB and the community of Eurozone members have calmed financial … markets, they have left the competitiveness problem of the Eurozone's southern countries and France unresolved. The paper …

and, for Germany, the importance of differentiating balances against euro and non-euro countries. …We analyze current account imbalances through the lens of the two largest surplus countries; China and Germany. We … its current account surplus, Germany’s surplus has continued to increase throughout and after the crisis. Second, for …

We employ two-stage empirical strategy to analyze the impact of macroeconomic news and central bank communication on … the exchange rates of three Central and Eastern European (CEE) currencies against the euro. First we estimate the nominal … currencies to central bank verbal interventions becomes important only during the crisis period, though. …

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 …