We propose a new and time-varying optimum currency area (OCA) index for the euro area in assessing the evolution of the … autoregression (VAR) model. We argue that the euro area is more appropriate through the lens of empirical OCA properties when the … relative importance of common symmetric shocks is high, but, at the same time, is not overly dispersed across euro area member …

able to replicate key features of the data prior to and under EMU.We ?nd that the euro has a strong bearing on the …

able to replicate key features of the data prior to and under EMU.We find that the euro has a strong bearing on the …

Using a Bayesian dynamic factor model, I examine the comovement of output, investmentand consumption growth among Euro … area countries before and after the introduction of theEuro. For that purpose, I compare a pre-Euro period (1991-1998) to a … Euro period(2000-2010) and identify a common Euro factor for each period separately. I find thatthe comovement of main …

We assess the correlation of supply and demand shocks between current countries in the euro area and EU accession … euro area and acceding counties.We find that several acceding countries have a quite high correlation of underlying shocks … with the euro area and conclude that continuing integration within the EU is likely to align the business cycles of these …

Using a Bayesian dynamic factor model, I examine the comovement of output, investmentand consumption growth among Euro … area countries before and after the introduction of theEuro. For that purpose, I compare a pre-Euro period (1991–1998) to a … Euro period(2000–2010) and identify a common Euro factor for each period separately. I find thatthe comovement of main …

We assess the correlation of supply and demand shocks between current countries in the euro area and EU accession … euro area and acceding counties. We find that several acceding countries have a quite high correlation of underlying shocks … with the euro area and conclude that continuing integration within the EU is likely to align the business cycles of these …

of the euro area. For this purpose, we differentiate between the departure of weak and strong countries, and examine the …