How to be Well Shod to Absorb Shocks? Shock Synchronization and Joining the Euro Zone
AbstractThis paper examines the demand and supply shocks observed in the present Eurozone member states and those observed in some neighboring countries. The analysis is based on recent data and each Eurozone member country is compared with an aggregate series corresponding to an area made up of the entire Eurozone minus the country being compared. The results of the study confirm that, even when the series are corrected by removing the country being compared, the disturbances observed in large Eurozone countries are well correlated with the disturbances observed in other Eurozone member countries.
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Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1878.
Date of creation: 2006
Date of revision:
shocks; Eurozone; optimal currency area;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-01-02 (All new papers)
- NEP-CBA-2007-01-02 (Central Banking)
- NEP-EEC-2007-01-02 (European Economics)
- NEP-MAC-2007-01-02 (Macroeconomics)
- NEP-MON-2007-01-02 (Monetary Economics)
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