Public debt has increased sharply during the financial and economic crisis. The European stability and growth pact could not have prevented this from happening. It follows that the institutional framework of the European Monetary Union is inadequate. Nonetheless, the current debate about...

One channel of business cycle shock transmission which gained attraction only recently is the confidence channel. The aim of the paper is to find out whether the confidence channel is actually working between the US and Germany. This is analysed using times series methods. In contrast to other...

Over the years, low wage and price increases in Germany amounted to a currency devaluation in real terms against the other eurozone countries and led to a continuous improvement in the German economy’s price competitiveness relative to its fellow eurozone members.