On The EU and Euro-zone Stability
AbstractThe aim of the present article is to offer a strictly mathematical, statistical treatment of the current account balances in EU and in the Eurozone. Based on Eurostat data, an overview of the total and annual balances is first made for different collections among the EU countries. Then, using the Mathematica technical computing software, curve fitting is employed to determine the functions which best reflect how surpluses and deficits accumulate with time. It is shown that both EU and the Eurozone economies ultimately have to pass through a critical, turning point beyond which the accumulation of deficits exceeds the accumulation of surpluses thus marking a period of instability. An interval estimate at a ninety eight percent degree of confidence, yields that EU is found in a phase of instability since 2011 while the instability turning point for the Eurozone is bound to occur any year from 2015 to 2018.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by arXiv.org in its series Papers with number 1302.6212.
Date of creation: Feb 2013
Date of revision:
Contact details of provider:
Web page: http://arxiv.org/
This paper has been announced in the following NEP Reports:
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (arXiv administrators).
If references are entirely missing, you can add them using this form.