The paper considers whether Sweden should join the EMU as based on general equilibrium (GE) effects through reduced trade barriers linked to the single cur-rency. We use in this evaluation a gravity model for trade in Europe derived and estimated in the paper, and the estimates of trade barriers...

The EU 2020 process has the key headline target of raising the average employment rate in the EU to 75 from the present 69 per cent. In this paper, we first derive a new result for optimal policymaking under uncertainty. It consists of two components: one of a unilateral policy reaction under...