The 2008-09 crisis has shown that some euro area member countries were unable to sufficiently stabilize their economies which has given rise to a debate about deeper fiscal integration in Europe. In this paper, we analyze the redistributive and stabilizing effects of two scenarios of fiscal integration in the Eurozone, namely the introduction of i) a joint tax and transfer system that replaces ...

This working paper investigates the European Monetary Unification’s (EMU) effect on wage restraint—the degree to which wage increases do or do not exceed productivity growth. We find in cross-sectional investigations that wage restraint either is unchanged or has increased following EMU in the vast majority of countries. This finding contradicts the predictions of a widely cited family of model...

We provide a structural model wherein the decision-makers are payoff maximizers in general game theoretic setting which heterogeneity is formally factored into decisions of players. The allowed to have different groups; and parameters same within each group but they differ across group. Using insights from our treatment heterogeneous strategic decision-making, we estimate conducts (market power...

This paper analyses the impact of cyclical external shocks on macroeconomic performance Eurozone and EU member countries. The latter is achieved through a comparative study two countries, Slovenia Croatia, which only former state. Cross-country differences are observed over 2000-2018 period, thus covering all stages economic cycle. primary hypothesis that integration provides its members with c...

The implementation of a stabilizing fiscal policy is particular importance to the eurozone countries, which do not have ability make autonomous decisions in scope their monetary order ease fluctuations an economic cycle. aim this research was evaluate discretionary selected countries bloc. ex post analysis approaches national policies, with division into two sub-periods, conducted statistical m...

Muddling through isn’t working. This commentary argues that troubled eurozone nations should simultaneously open restructuring talks while continuing to service their debts normally. Germany, France and other core eurozone nations would have to stand ready to recapitalise the banks most exposed to the restructured debt. The ECB would then stabilise the banking system and the EFSF would stabilis...

On the 31st of December 2021, euro celebrated its two decades in circulation. Initially, twelve countries adopted as their new national currency, Greece being one them. Starting 2020, is official currency nineteen European Union countries. This paper aims to examine three issues. Firstly, investigates Greek people’s perception about euro, using data from recent issue Eurobarometer (December 202...

Soon after the establishment of the Eurozone it became obvious that the structural differences between member countries would not abate, as expected, but rather gradually widen. Although part of the problem can be attributed to the enlargement process, it also relates to asymmetric effects of the common currency and to diverging economic policies. This paper discusses the literature which assoc...