Interregional Trade, Specialization, and the Business Cycle: Policy Implications for the EMU
| Autor: | Carlo Gianelle, Simone Salotti, Letizia Montinari |
|---|---|
| Rok vydání: | 2017 |
| Předmět: |
Economic integration
Market integration Economics and Econometrics 050208 finance 05 social sciences Single market International economics International free trade agreement 0502 economics and business Specialization (functional) Business cycle Economics Economic and monetary union 050207 economics Statistics Probability and Uncertainty Business and International Management Trade barrier Finance |
| Zdroj: | BASE-Bielefeld Academic Search Engine |
| ISSN: | 2509-7970 2509-7962 |
| DOI: | 10.1007/s41549-017-0012-y |
| Popis: | In this paper we analyse the effects of trade and specialisation on regional business cycle co-movement in the Economic and Monetary Union. Using a novel and unique bilateral regional trade dataset, we find that regions with stronger trade linkages and similar economic structures have more synchronized cycles. These results suggest that policies fostering regional specialization at the European level may reduce business cycle synchronization across regions and countries. This, in turn, might generate macroeconomic tensions in the common currency area. On the other hand, market integration policies can foster regional cycle synchronization and favour the functioning of the monetary union. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
|
Full text from SpringerLink