Citation
Discussion Paper Details
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Full Details
Title: EMU and Asymmetries and Adjustment Problems in the EMS
Author(s): Axel A Weber
Publication Date: August 1990
Keyword(s): Economic Integration, Europe, European Monetary System, Exchange Rates and Monetary Policy
Programme Area(s): International Macroeconomics
Abstract: The paper empirically analyzes asymmetries in the EMS with special reference to their implication for the creation of a monetary union (EMU). Two types of asymmetries are analyzed: those in the form of "German dominance" are detected in the conduct of monetary policies in the EMS, in particular when the concept of "Granger causality" is applied in vector autoregressions using money-market interest rates through which most of the short-term policy impulses are transmitted; and second, asymmetries in the shocks to macroeconomic variables are discussed.
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Bibliographic Reference
Weber, A. 1990. 'EMU and Asymmetries and Adjustment Problems in the EMS'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=448