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Accession to a Monetary Union

In: Dynamic Modeling of Monetary and Fiscal Cooperation Among Nations

Author

Listed:
  • Joseph Plasmans

    (University of Antwerp, Belgium and Tilburg University)

  • Jacob Engwerda

    (Tilburg University)

  • Bas van Aarle

    (University of Maastricht)

  • Giovanni di Bartolomeo

    (University of Rome “La Sapienza”)

  • Tomasz Michalak

    (University of Antwerp)

Abstract

In Chapter 6 the multi-country MU setting was analyzed. It was shown that many basic insights of the 2-country MU model of Chapters 3 and 4 carry over to a multi-country setting and that at the same time a multi-country MU features many new issues. These new issues were, in particular, related to the strongly increased number of interactions and economic externalities and the more complicated patterns in policy coordination due to the numerous opportunities of coalition formation. However, Chapter 6 did not address the questions why and when countries decide to participate (or not to participate) in an MU. Yet, this question seems of crucial importance in understanding the actual design and functioning of MUs.

Suggested Citation

  • Joseph Plasmans & Jacob Engwerda & Bas van Aarle & Giovanni di Bartolomeo & Tomasz Michalak, 2006. "Accession to a Monetary Union," Dynamic Modeling and Econometrics in Economics and Finance, in: Dynamic Modeling of Monetary and Fiscal Cooperation Among Nations, pages 229-271, Springer.
    • Handle: RePEc:spr:dymchp:978-0-387-27931-2_7
    DOI: 10.1007/0-387-27931-8_7
    as

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