Advanced Search
MyIDEAS: Login to save this paper or follow this series

Smooth Euro Changeover, Higher Prices? Results of a Survey Among Dutch Retailers

Contents:

Author Info

  • C.K. Folkertsma
  • C. van Renselaar
  • A.C.J. Stokman

Abstract

The Dutch changeover to euro banknotes and coins proceeded both remarkably smoothly and rapidly. After one week, over 90% of all cash payments were being made in euro. Fears of the payment system breaking down, always rampant among businesses and the public alike, did not materialise. Fears of price rises on the other hand, were not entirely unfounded, as evidenced by a survey held by the Bank among retailers in January. The changeover from guilders to euro has pushed consumer prices up by 0.2-0.4%, in part because retailers passed the ensuing costs on to their customers, but also because prices were rounded up towards attractive euro prices. In time, the introduction of the euro willpresumably lead to lower prices.

Download Info

If 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.
File URL: http://www.dnb.nl/binaries/wo0682_eng_tcm46-145979.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Netherlands Central Bank, Research Department in its series WO Research Memoranda (discontinued) with number 682.

as in new window
Length:
Date of creation: 2002
Date of revision:
Handle: RePEc:dnb:wormem:682

Contact details of provider:
Postal: Postbus 98, 1000 AB Amsterdam
Web page: http://www.dnb.nl/en/
More information through EDIRC

Related research

Keywords: Euro cash-changeover; survey; price impact of cash-changeover;

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Marco G Ercolani, 2009. "Transitional Price Rises with the Adoption of the Euro: Aggregate and Disaggregate Sector Evidence," Discussion Papers 09-18, Department of Economics, University of Birmingham.
  2. Marco Hoeberichts & Ad Stokman, 2005. "Price Setting Behaviour in the Netherlands: Results of a Survey," DNB Working Papers 073, Netherlands Central Bank, Research Department.
  3. Thomas A. Eife, 2006. "Price setting behaviour and price setting regulations at the euro changeover," Bank of Estonia Working Papers 2006-06, Bank of Estonia, revised 12 Oct 2006.
  4. Knotek II, Edward S., 2008. "Convenient prices, currency, and nominal rigidity: Theory with evidence from newspaper prices," Journal of Monetary Economics, Elsevier, vol. 55(7), pages 1303-1316, October.
  5. Ehrmann, Michael, 2006. "Rational inattention, inflation developments and perceptions after the euro cash changeover," Working Paper Series 0588, European Central Bank.
  6. Patrick Lünnemann & Thomas Y. Mathä, 2010. "Consumer price behaviour: evidence from Luxembourg micro data," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 31(2-3), pages 177-192.
  7. Michael Ehrmann, 2011. "Inflation Developments and Perceptions after the Euro Cash Changeover," German Economic Review, Verein für Socialpolitik, vol. 12(1), pages 33-58, 02.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:dnb:wormem:682. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Rob Vet).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.