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Optimum currency area theory: A selective review

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  • Julius Horvath

    (Professor & Chair Department of International Relations & European Studies Central European University Budapest)

Abstract

The first part of this paper is a review of significant papers in the vast literature on optimum currency area (OCA) theory. The author focuses on the main classical contributions, then considers modern treatment of OCA theory. The second part considers empirical literature on the types of geographical areas that might constitute optimum currency areas, particularly with respect to asymmetry and symmetry of shocks.

Suggested Citation

  • Julius Horvath, 2004. "Optimum currency area theory: A selective review," Macroeconomics 0401014, EconWPA.
  • Handle: RePEc:wpa:wuwpma:0401014 Note: Type of Document - pdf; pages: 42; figures: included
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    File URL: http://econwpa.repec.org/eps/mac/papers/0401/0401014.pdf
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    References listed on IDEAS

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    Cited by:

    1. Csaba, László, 2006. "A stabilitási és növekedési egyezmény új politikai gazdaságtanáról
      [On the new political economy of the Stability and Growth Pact]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(1), pages 1-30.
    2. Kocenda, Evzen & Kutan, Ali M. & Yigit, Taner M., 2006. "Pilgrims to the Eurozone: How far, how fast?," Economic Systems, Elsevier, pages 311-327.
    3. Tyrowicz, Joanna, 2009. "When Eastern Labour Markets Enter Western Europe CEECs. Labour Market Institutions upon Euro Zone Accession," MPRA Paper 15045, University Library of Munich, Germany.
    4. Puiu, Cristina, 2011. "Optimum currency area: an epistemological view," MPRA Paper 35055, University Library of Munich, Germany.
    5. Joanna Tyrowicz, 2009. "When Eastern Labour Markets Enter Western Europe. CEECs Labour Market Institutions upon Euro Zone Accession," NBP Working Papers 61, Narodowy Bank Polski, Economic Research Department.
    6. Omar Bakkou, 2014. "The Suitable Exchange Rate Regime for the Moroccan Economy," International Journal of Economics and Financial Issues, Econjournals, vol. 4(3), pages 612-621.

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    JEL classification:

    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions

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