Macroeconomic Policies of the Economic and Monetary Union: Theorectical Underpinnings and Challenges
AbstractMacroeconomic Policies of the Economic and Monetary Union: Theoretical Underpinnings and Challenges Philip Arestis and Malcolm Sawyer, The Levy Economics Institute and Leeds University Abstract This paper presents two issues: first, an effort to decipher the type of economic analysis and macroeconomic policies of the Economic and Monetary Union (EMU) theoretical and policy framework, which we suggest are essentially of the "new consensus" variety; second, an argument that the challenges to the EMU macroeconomic policies lie in their potential to achieve full employment and low inflation in the euro area. We conclude that the institutional and policy arrangements surrounding the EMU and the euro are neither adequate for dealing with today's problems of unemployment and inflation nor promising for the future. We propose alternative policies, and institutional arrangements.
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Bibliographic InfoPaper provided by EconWPA in its series Macroeconomics with number 0308008.
Length: 40 pages
Date of creation: 28 Aug 2003
Date of revision:
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macroeconomics policies; EMU; monetary policy; fiscal policy;
Find related papers by JEL classification:
- E50 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - General
- E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
- E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-08-31 (All new papers)
- NEP-EEC-2003-08-31 (European Economics)
- NEP-IFN-2003-08-31 (International Finance)
- NEP-MAC-2003-08-31 (Macroeconomics)
- NEP-MON-2003-08-31 (Monetary Economics)
- NEP-PKE-2003-08-31 (Post Keynesian Economics)
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