Interactions between Monetary and Fiscal Policies in the Euro Area

Abstract

This paper studies the interactions between monetary and fiscal policies in the euro area. It carefully discusses the process of policy competition and the structure of policy cooperation. As to policy competition, the focus is on competition between the European central bank, the American central bank, the German government, and the French government. As to policy cooperation, the focus is on the same institutions. These are higher-dimensional issues. The policy targets are price stability and full employment. Special features of this paper are numerical simulations of policy competition and numerical solutions to policy cooperation.European Monetary Union; International Policy Coordination; Monetary Policy; Fiscal Policy

Similar works

Full text

thumbnail-image

Research Papers in Economics

redirect
Last time updated on 06/07/2012

This paper was published in Research Papers in Economics.

Having an issue?

Is data on this page outdated, violates copyrights or anything else? Report the problem now and we will take corresponding actions after reviewing your request.