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Social Conflict and Growth in Euroland

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  • De Grauwe, Paul
  • Skudelny, Frauke
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    Abstract

    This paper contributes to the literature on the differences in the transmission processes within Euroland. We start from the proposition that there are 'deep' differences in the nature of social conflicts and in the way countries deal with these conflicts. We empirically test this effect for the EU-growth and introduce several proxies for social conflicts and conflict management. We then analyse an EU wide shock and find that differences in the social conflict and the conflict management institutions contribute to different effects on economic growth. We conclude by presenting a model giving a theoretical foundation of the empirical results.

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    Bibliographic Info

    Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 2186.

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    Date of creation: Jul 1999
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    Handle: RePEc:cpr:ceprdp:2186

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    Related research

    Keywords: Economic Growth; EMU; Transmission Process;

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    Cited by:
    1. Friedrich Schneider & Alexander Wagner, 2000. "Korporatismus im europäischen Vergleich: Förderung makroökonomischer Rahmenbedingungen?," Economics working papers 2000-15, Department of Economics, Johannes Kepler University Linz, Austria.

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