one of the necessary preconditions to the establishment and stability of optimal currency area is the homogeneity of the economic structure in member states. but place with eurozone currency crisis, the question arises whether the economic structure of the eurozone countries were homogeneous? accordingly, this study by using an econometrics model and estimating it by panel data method, has been...

This paper, using 40 years of monthly industrial production data, examines the relationship between the business cycles of the 12 Eurozone countries. Since estimates of the business cycle have been found to be sensitive to how the cycle is measured, a range of alternative measures are considered. We focus on both parametric and nonparametric univariate measures of the ‘classical’ and ‘growth’ c...

The Eurozone crisis constitutes a grave challenge to European integration. This article presents an overview of the causes of the crisis and analyzes why has it been so difficult to resolve. We focus on how responses to the crisis were shaped by distributive conflicts both among and within countries. On the international level, debtor and creditor countries have fought over the distribution of ...

Since the financial crisis erupted in 2008, the governments of Portugal, Ireland, Italy Greece and Spain (GIPSI) find themselves in a position where financing their debts has become increasingly difficult. As a result, these governments reduced government expenditure and/or increased taxes in order to reduce their deficits. Hence, whilst other countries in the Eurozone – notably Germany enjoy a...

In economic theory, various determinants are considered to explore their effects on trade patterns. Accordingly, business cycles indicate turbulences in economic activities. Business cycles and their fluctuations cause a change in demand for goods and services from the other country then it can affect trade flows. In this study, by using a gravity model, we study the effects of business cycles ...

In the aftermath of the EU’s enlargement towards Central and Eastern Europe, many scholars and observers of European integration were proclaiming that the French-German ‘engine’ of Europe had come to an end, with the ‘new Europe’ requiring new leadership dynamics. However, the experience of the Eurozone debt crisis provided dramatic evidence that no alternative to the Franco-German partnership ...