A major economic reason for the introduction of the euro was its supposedly positive effect on intra-EMU trade …. Existing studies examine this suspicion indirectly using non-EMU data and report ambiguous results. We estimate the euro …-effect directly from data that include EMU observations. Using a dynamic panel model for annual bilateral exports, we find that the …

factors with central importance in EMU. Flexibility in labor markets functioning and wage-setting aiming to nominal and real … proposition associated with the new ‘pact for euro’. Aiming to formulate a flexible wage setting framework in EMU, complementary … we aim at assuring competitiveness and external balance, the crucial preconditions for job creation in EMU. …