DP1547 Out in the Sunshine? Outsiders, Insiders, and the United States in 1998
|Author(s):||Fabio Ghironi, Francesco Giavazzi|
|Publication Date:||January 1997|
|Keyword(s):||European Monetary Union, International Policy Coordination|
|JEL(s):||F31, F33, F41, F42|
|Programme Areas:||International Macroeconomics|
|Link to this Page:||cepr.org/active/publications/discussion_papers/dp.php?dpno=1547|
The paper analyses monetary and fiscal policy interactions in a three-country world, interpreted to represent two EU economies and the rest of the world. The analysis extends well-known results in the literature on international policy spillovers by investigating the effects of different sizes of the two EU economies. A set of general results is derived, which allows a reinterpretation of earlier findings in the literature on policy-making in interdependent economies.