In order to explain the joint fluctuations of output, inflation and the labor market, this paper first develops a general equilibrium model that integrates a theory of equilibrium unemployment into a monetary model with nominal price rigidities. Then, it estimates a set of structural parameters...

When enough agents do not participate in asset markets, the slope of the aggregate demand curve is reversed. Monetary policy should be passive, to ensure equilibrium determinacy and to minimize variations in output and inflation. This paper presents evidence that asset markets participation in...

Turkey could be the EU's biggest success in foreign affairs. Europeans should be proud that they are transforming, in a peaceful manner, the political system of a country as large and complex as Turkey. Regime change EU-style is cheap, voluntary and long-lasting. Turkey also has a lot to...

The analytical approach taken here is innovative and original. While other studies have considered the EUu0092s periphery, such as Turkey and the Ukraine, in terms of European perceptions, as well as within the EU itself through the Eurobarometre, there is an absence of studies so distant from...