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In this paper we re-evaluate the capital immobility hypothesis of Feldstein and Horioka (1980) for the case of the European Union and the Eurozone, based on long-run regressions. We employ the Long Run Derivative proposed by Fischer and Seater (1993) in order to examine capital mobility as a...
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We examine the relationship between investment and saving for a cross section of European countries before and during … the euro crisis. Investment is positively and significantly related to saving, and this relationship is stronger during …
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empirical analysis showing that terms-of-trade and saving/investment behaviour seem to have driven the euro exchange rate over …
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