Skip navigation
Logo
User training | Reference and search service

Library catalog

Retrievo
EDS
b-on
More
resources
Content aggregators
Please use this identifier to cite or link to this item:

acessibilidade

http://hdl.handle.net/10071/8319
acessibilidade
Title: The welfare cost of the EMU for transition countries
Authors: Ferreira-Lopes, A.
Keywords: Monetary policy
Euro
Welfare analysis
Czech Republic
Poland
Hungary
Issue Date: 2014
Publisher: University of Economics, Prague
Abstract: The Czech Republic, Hungary, and Poland are set to join the European and Monetary Union (EMU) in the near future. This paper offers a framework for the quantitative evaluation of the economic costs of joining the EMU. Using an open economy dynamic general equilibrium model with sticky prices, we investigate the economic implications of the loss of monetary policy flexibility associated with EMU for each of these economies. The main benefit of this general equilibrium approach is that we can directly evaluate the effects of monetary policy in terms of welfare. Our findings suggest that the Czech Republic and Poland may experience sizable welfare costs as a result of joining the EMU. Results for Hungary are less striking as welfare costs in this country seem to be negligible in the benchmark economy. Nevertheless, costs of joining the EMU are higher if government shocks are important and when the trade share with the EMU is small.
Peer reviewed: Sim
URI: https://ciencia.iscte-iul.pt/public/pub/id/12802
http://hdl.handle.net/10071/8319
ISSN: 1210-0455
Publisher version: The definitive version is available at: http://www.vse.cz/pep/493
Appears in Collections:BRU-RI - Artigo em revista científica internacional com arbitragem científica

Files in This Item:
acessibilidade
File Description SizeFormat 
post_print_PEP_FerreiraLopes.pdf182.05 kBAdobe PDFView/Open


FacebookTwitterDeliciousLinkedInDiggGoogle BookmarksMySpace
Formato BibTex MendeleyEndnote Currículo DeGóis 

Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.