Endogeneity and Specialization Theories of Optimal Currency Areas: A Comparative European Study
(2011) NEKM02 20111Department of Economics
- Abstract
- In this thesis the group of European countries that signed the Maastricht treaty are investigated subject to the endogeneity aspect and the specialization effect of optimal currency areas. The main method used is time series factor analysis for identification of a common European business cycle. To give the analysis a firm basis the USA is compared with European countries during the 1970-2010 period. Furthermore, the group of European countriesare analyzed for the 1970-1993 and 1993-2010 periods separately. The results point in the direction of the endogeneity aspect so far being the main aspect effecting the European countries. To further investigate the relationship between an occurrence of regional cycles in the
US the Krugman index of... (More) - In this thesis the group of European countries that signed the Maastricht treaty are investigated subject to the endogeneity aspect and the specialization effect of optimal currency areas. The main method used is time series factor analysis for identification of a common European business cycle. To give the analysis a firm basis the USA is compared with European countries during the 1970-2010 period. Furthermore, the group of European countriesare analyzed for the 1970-1993 and 1993-2010 periods separately. The results point in the direction of the endogeneity aspect so far being the main aspect effecting the European countries. To further investigate the relationship between an occurrence of regional cycles in the
US the Krugman index of specialization is deployed for both the European countries and the USA. This analysis together with the factor analysis implicates that the European countries can expect a future dominance of the specialization effect. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/1973762
- author
- Persson, Kristoffer LU
- supervisor
- organization
- course
- NEKM02 20111
- year
- 2011
- type
- H2 - Master's Degree (Two Years)
- subject
- keywords
- OCA Factor Analysis EMU
- language
- English
- id
- 1973762
- date added to LUP
- 2011-06-16 15:10:26
- date last changed
- 2011-06-16 15:10:26
@misc{1973762, abstract = {{In this thesis the group of European countries that signed the Maastricht treaty are investigated subject to the endogeneity aspect and the specialization effect of optimal currency areas. The main method used is time series factor analysis for identification of a common European business cycle. To give the analysis a firm basis the USA is compared with European countries during the 1970-2010 period. Furthermore, the group of European countriesare analyzed for the 1970-1993 and 1993-2010 periods separately. The results point in the direction of the endogeneity aspect so far being the main aspect effecting the European countries. To further investigate the relationship between an occurrence of regional cycles in the US the Krugman index of specialization is deployed for both the European countries and the USA. This analysis together with the factor analysis implicates that the European countries can expect a future dominance of the specialization effect.}}, author = {{Persson, Kristoffer}}, language = {{eng}}, note = {{Student Paper}}, title = {{Endogeneity and Specialization Theories of Optimal Currency Areas: A Comparative European Study}}, year = {{2011}}, }