Testing for external sustainability under a monetary integration process. Does the Lawson doctrine apply to Europe?
Ver/ Abrir
Impacto
Scholar |
Otros documentos de la autoría: Camarero, Mariam; Carrion-i-Silvestre, Josep Lluís; Tamarit, Cecilio
Metadatos
Mostrar el registro completo del ítemcomunitat-uji-handle:10234/9
comunitat-uji-handle2:10234/8643
comunitat-uji-handle3:10234/8644
comunitat-uji-handle4:
INVESTIGACIONMetadatos
Título
Testing for external sustainability under a monetary integration process. Does the Lawson doctrine apply to Europe?Fecha de publicación
2015Editor
ElsevierISSN
0264-9993Tipo de documento
info:eu-repo/semantics/articleVersión de la editorial
http://www.sciencedirect.com/science/article/pii/S0264999314002405Versión
info:eu-repo/semantics/submittedVersionPalabras clave / Materias
Resumen
Monetary integration, and more specifically, the creation of a monetary union in Europe,
raises new economic questions concerning its functioning and governance. In particular,
we focus on the implications of high ... [+]
Monetary integration, and more specifically, the creation of a monetary union in Europe,
raises new economic questions concerning its functioning and governance. In particular,
we focus on the implications of high and persistent current account deficits for the
economic performance of monetary union members in the medium term. Recent
literature has argued that conventional measures of external sustainability are
misleading because they omit the effects of capital variations on net foreign asset
positions due to, among others, stock or debt market crises. In this paper we revisit
external sustainability making use of the database developed by Lane and Milesi-Ferretti
(2007) that includes these “valuation effects”. The sample period studied covers from the
launching of the monetary integration process in Europe (the creation of the European
Snake in 1972) up to 2011. Our econometric methodology accounts for the increasing
cross-section dependence among EMU countries as well as for possible structural breaks
endogenously determined. The results point to the need of abrupt adjustments, either
led by the markets or promoted by pro-active policy measures, in order to offset external
disequilibria. These results would give support to the surveillance measures proposed
by the European Commission (2009, 2010a) and would reject the Lawson's doctrine of
“laissez-faire”. [-]
Publicado en
Economic Modelling, 2015, vol. 44Derechos de acceso
Copyright © 2014 Elsevier B.V. All rights reserved.
http://rightsstatements.org/vocab/InC/1.0/
info:eu-repo/semantics/openAccess
http://rightsstatements.org/vocab/InC/1.0/
info:eu-repo/semantics/openAccess
Aparece en las colecciones
- ECO_Articles [692]