IDEAS home Printed from https://ideas.repec.org/a/ovi/oviste/v11y2011i1p1779-1784.html
   My bibliography  Save this article

Rose Effect: How Far Can it be Argued that the Euro Increased Trade?

Author

Listed:
  • Puiu Cristina

    („Alexandru Ioan Cuza” University of Ia?i, Doctoral School of Economics)

Abstract

Current imbalances in the euro area made it necessary to identify the benefits of a single currency in order to sustain the viability of it. This paper aims to review existing literature on the endogenous effects of monetary integration: whether sharing a single currency may bring countries closer together through an increase in trade. The first part is a review of significant paper in the vast literature on the endogeneity of optimum currency area theory that focuses on the main criterion that is subject of this hypothesis. The second part considers empirical literature on the effects of monetary integration on trade based on evidences provided by the euro area experience. The main conclusion is that the hypothesis attracted a large number of studies and, although they provide heterogeneous results caused by using different methodologies, they all indicate a positive effect.

Suggested Citation

  • Puiu Cristina, 2011. "Rose Effect: How Far Can it be Argued that the Euro Increased Trade?," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 1779-1784, May.
    • Handle: RePEc:ovi:oviste:v:11:y:2011:i:1:p:1779-1784
    as

    Download full text from publisher

    File URL: http://stec.univ-ovidius.ro/html/anale/RO/cuprins%20rezumate/rezumate2011p1.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    optimum currency areas; endogeneity; euro; Rose Effect;
    All these keywords.

    JEL classification:

    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • F15 - International Economics - - Trade - - - Economic Integration
    • F3 - International Economics - - International Finance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ovi:oviste:v:11:y:2011:i:1:p:1779-1784. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Gheorghiu Gabriela (email available below). General contact details of provider: https://edirc.repec.org/data/feoviro.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.