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questions as the expansion of the eurozone, the institution of monetary unions in Latin America and East Asia, and the effect of … the eurozone, discussing, among other topics, its effect on labor market reforms, the empirical validity of the … eurozone. Other chapters consider such topics as the effect of monetary unions on trade flows, risk-sharing mechanisms to …
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In this paper we address the issue of how transmission uncertainty could affect the choice between a federal monetary policy based on national data and one on aggregated data.We find that the uncertainty about the transmission process increases the need to take into account information about...
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What policy objective should a common central bank in a heterogeneous monetary union pursue? Should it base its decisions on the EU-wide average of inflation and growth or should it instead focus on (appropriately weighted) national welfare losses based on national rates of inflation and growth?...
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