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The monetary economy has properties that cannot be analyzed using the tools of today's dynamic general equilibrium analysis. Keynes's economics, far from being an aberration in the otherwise orderly evolution of modern macroeconomics from Adam Smith's ideas about the invisible hand, was a major...
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Recent research has found that the dynamic properties of the New Keynesian model can be very different when the nominal interest rate is zero. Improvements in technology and reductions in the labor tax rate lower economic activity, and the size of the government purchase output multiplier can be...
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In the fall of 1999, the recovery in Euroland is back on track. The turnaround was caused by the improvement in the world economy. After exports had been depressed in the past winter due to the weak demand in the crisis countries particularly in Asia, the impulses from abroad have picked up...
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Differenzen zwischen den nationalen Geldmarktzinsen können schon vor Beginn der einheitlichen Geldpolitik abgebaut werden, wenn … mehr und die Preiswirkungen der expansiveren Geldpolitik werden erst später in der Währungsunion auftreten und damit auf … alle Länder verteilt. Mit der insgesamt expansiveren Geldpolitik werden die europäischen Währungen gegenüber Drittwährungen …
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Pre-Accession Transition Countries (PATCs) aim at early admittance to the monetary club. Their fiscal indicators – deficit and debt - do not show any serious symptoms. Closer scrutiny reveals, however, that the interest burden of their public debt might be underestimated, and that...
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