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On the Links Between Monetary and Political Integration

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  • Eichengreen, Barry

Abstract

The connection between monetary integration and political integration is probably the most contentious aspect of the Maastricht process. In this paper I suggest that relationship between monetary and political integration is contingent; under only slightly different initial conditions, these two dimensions of the integration process can evolve in very different ways. Specifically, whether monetary and political integration develop hand in hand or the first progresses without significant movement toward the second will depend on the accompanying fiscal constitution.

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Bibliographic Info

Paper provided by Center for International and Development Economics Research, Institute for Business and Economic Research, UC Berkeley in its series Center for International and Development Economics Research, Working Paper Series with number qt371499mw.

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Date of creation: 06 Dec 1996
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Handle: RePEc:cdl:ciders:qt371499mw

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Keywords: Monetary integration; international economics; EMU;

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Cited by:
  1. Willem H. Buiter, 1999. "The EMU and the NAMU: What is the Case for North American Monetary Union?," Canadian Public Policy, University of Toronto Press, vol. 25(3), pages 285-305, September.
  2. Buiter, Willem H, 2008. "Economic, Political, and Institutional Prerequisites for Monetary Union Among the Members of the Gulf Cooperation Council," CEPR Discussion Papers 6639, C.E.P.R. Discussion Papers.
  3. Robertson, Raymond, 2004. "Defining North American Economic Integration," 2004 NAAMIC Workshop I: North American Agrifood Market Integration: Current Situtation and Perspectives 163856, North American Agrifood Market Integration Consortium (NAAMIC).
  4. Davide Furceri, 2002. "Risk-sharing e architettura istituzionale delle politiche di stabilizzazione nell'UME: aspetti metodologici e verifica empirica," Rivista di Politica Economica, SIPI Spa, vol. 92(6), pages 175-210, November-.
  5. Willem H. Buiter, 2000. "Is Iceland an Optimal Currency Area?," Economics wp10, Department of Economics, Central bank of Iceland.

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