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Taille des pays, performance économique et économie politique de la zone euro

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  • Olfa Alouini
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    Abstract

    How country size influences economic performance is an area that has received renewed interest, especially with Rose (2006), who found no pattern between a country?s size and its economic performance at the world level. However, when assessing the economic performance of EMU countries, a size divide appears between small, and fast-growing economies and larger laggard ones. I explain this phenomenon by examining how the institutional settings of the EMU?namely, the Stability and Growth Pact and the European Central Bank ?suit the economic policies of smaller economies and hinder those of the larger ones. The econometric analysis, ran with panel data for the fifteen euro-zone countries (1998-2008) and for robustness, with data on the pre-EMU period and on countries that opted out of the monetary union, confirms that the size divide in terms of economic performance is a by-product of the monetary union. JEL classification codes: E60, F59.

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    Bibliographic Info

    Article provided by Presses de Sciences-Po in its journal Revue de l'OFCE.

    Volume (Year): n° 112 (2010)
    Issue (Month): 1 ()
    Pages: 191-212

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    Handle: RePEc:cai:reofsp:reof_112_0191

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    Related research

    Keywords: EMU; Euro zone; monetary union; political economy; country size; heterogeneity; economic growth;

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