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The euro and European competition in a Finnish perspective

Andrén, Niclas LU and Oxelheim, Lars LU (2002) In Ekonomiska Samfundets Tidskrift 55(1). p.5-5
Abstract
In this article we analyze what has been achieved by the introduction of the euro in terms of macroeconomic convergence and leveling of competitive conditions among the EMU member countries. In particular, has the convergence in nominal exchange rates resulted in divergence in real exchange and interest rates? And how has Finland fared relative to the EMU members? The answer is that real exchange and interest rates have diverged in the EMU after the introduction of the euro. This divergence is remarkably large in a historical comparison. The Finnish government faces a challenge of forming a policy aimed at dampening the domestic roots of the divergence as well as of influencing the policy-making at the EU-Ievel to avoid making the... (More)
In this article we analyze what has been achieved by the introduction of the euro in terms of macroeconomic convergence and leveling of competitive conditions among the EMU member countries. In particular, has the convergence in nominal exchange rates resulted in divergence in real exchange and interest rates? And how has Finland fared relative to the EMU members? The answer is that real exchange and interest rates have diverged in the EMU after the introduction of the euro. This divergence is remarkably large in a historical comparison. The Finnish government faces a challenge of forming a policy aimed at dampening the domestic roots of the divergence as well as of influencing the policy-making at the EU-Ievel to avoid making the divergence put the entire EMU at stake. (Less)
Please use this url to cite or link to this publication:
author
organization
publishing date
type
Contribution to journal
publication status
published
subject
in
Ekonomiska Samfundets Tidskrift
volume
55
issue
1
pages
5 - 5
publisher
Ekonomiska samfundet
external identifiers
  • wos:000174968400002
  • scopus:0036354812
ISSN
0013-3183
language
English
LU publication?
yes
id
5dd3bdbe-7162-4467-9397-b37f4c8f0f19 (old id 893583)
alternative location
http://www.ekonomiskasamfundettidskrift.fi/est/files/est_102.pdf
date added to LUP
2008-01-15 16:33:45
date last changed
2017-01-01 07:24:39
@article{5dd3bdbe-7162-4467-9397-b37f4c8f0f19,
  abstract     = {In this article we analyze what has been achieved by the introduction of the euro in terms of macroeconomic convergence and leveling of competitive conditions among the EMU member countries. In particular, has the convergence in nominal exchange rates resulted in divergence in real exchange and interest rates? And how has Finland fared relative to the EMU members? The answer is that real exchange and interest rates have diverged in the EMU after the introduction of the euro. This divergence is remarkably large in a historical comparison. The Finnish government faces a challenge of forming a policy aimed at dampening the domestic roots of the divergence as well as of influencing the policy-making at the EU-Ievel to avoid making the divergence put the entire EMU at stake.},
  author       = {Andrén, Niclas and Oxelheim, Lars},
  issn         = {0013-3183},
  language     = {eng},
  number       = {1},
  pages        = {5--5},
  publisher    = {Ekonomiska samfundet},
  series       = {Ekonomiska Samfundets Tidskrift},
  title        = {The euro and European competition in a Finnish perspective},
  volume       = {55},
  year         = {2002},
}