Trust in the ECB, as measured by the standard Eurobarometer surveys has fallen to unprecedented lows - especially in the larger euro area countries. We find that up to the start of the recession in 2008 trust in the ECB was little affected by business cycle variables such as growth and even...

Two of the four macroeconomic adjustment programmes, Portugal and Ireland s, can be considered a success in the sense that the initial expectations in terms of adjustment, both fiscal and external, were broadly fulfilled. A rebound based on exports has taken hold in these two countries, but a...