1. Cyprus : from an economic miracle to a systemic collapse and its aftermath / Andreas Theophanous -- 2. The Estonian economy : structure, performance and prospects / Tarmo Kalvet -- 3. Iceland and the challenge of European integration : is European Union membership feasible / Hilmar or...

We assess public finances solvency for Euro Area countries using quarterly data between 1999Q1 and 2020Q4. Through a country-by-country analysis, the answer to the title question is true. For most countries, (i) the primary budget balance reacts positively to the lagged public debt ratio and...