EMU and economic policy in Europe. The challenge of the early years

Abstract:

As a highly innovative and historically unique policy system, the EMU has important political and economic implications for the relationship between Europe and the world. This book evaluates the state of the EMU in the early stages of its life. It also addresses what problems it may be forced to confront in the future, including those over fiscal policy, market deficiencies, economic 'shocks', and the overall aims of economic growth and stability.

Incorporating work from various contributors, the book consists of five major parts. After part one, which provides an overview of the EMU in the 'early years', chapter two turns to the issue of monetary policy, and chapter three looks at the challenges facing fiscal policy. In chapter four, on policy co-ordination, there is work on the general functioning of this system, as well as its achievements and difficulties, and in chapter five there is a discussion of labour markets, in terms of microeconomics and institutional evolution, as well as the question of wage discipline within the EMU. Chapter six deals with the financial situation in both European markets and in the international financial system, with research, for example, on the market structure and the euro, and chapter seven finishes the book by assessing the EMU's future, in respect of problems created by enlargement, sustainability and price stability.

The book is intended for European policy-makers, financial economists and anyone working within the field of the EMU.