The empirical literature offers conflicting views of German dominance in the European Monetary System. We examine the validity of the German dominance hypothesis (GDH) by analyzing the responses of the European central banks and the money markets to monetary innovations originating both in...

The uncertainty caused by the exchange rate crises of 1992-93 led to two questions: Is monetary union still feasible? What strategies are best for achieving convergence according to the Maastricht criteria? This article addresses these questions by examining the progress made by the five major...

This paper analyzes the nature of macroeconomic interdependence between the U.S. and the E.E.C. countries and examine the implications of cooperative and noncooperative approaches to formulating domestic monetary and fiscal policies. There is considerable evidence that labour markets in the U.S....