Macroeconomic Analysis of Monetary Unions : A General Framework Based on the Mundell-Fleming Model Paperback
Part of the SpringerBriefs in Economics series
The book develops a general framework for the macroeconomic modeling of monetary unions.
The starting point of the analysis is the standard two-country Mundell-Fleming model with perfect capital mobility, extended to incorporate the supply side in a context of rigid real wages, and modified so that the money market is common for two countries forming a monetary union.
The model is presented in two versions: for a small and a large monetary union, respectively.
After solving each model, the authors derive multipliers for monetary, expenditure, supply, and external shocks, both in the short and the long run; a graphical analysis is also provided.
Special attention is paid to the crucial distinction between symmetric and asymmetric shocks.
- Format: Paperback
- Pages: 50 pages, 4 Tables, black and white; VII, 50 p.
- Publisher: Springer-Verlag Berlin and Heidelberg GmbH & Co. K
- Publication Date: 01/04/2011
- Category: Economic theory & philosophy
- ISBN: 9783642194443
- PDF from £38.24