Estimated Stabilization Costs of the EMU

Ray C. Fair
1998 National Institute Economic Review  
A multicountry econometric model and stochastic simulation are used to estimate the stabilizntion costs of the European Monetary Union (EMU). A measure of the variability of output and other variables is computed for the wnent regime and for the EMU reeime. The results show that Germanv is hurt the most in terms of increased output variability in moving from the current regime to the EMU regime.
doi:10.1177/002795019816400112 fatcat:gn4fnzqo2baxngbxutoe756qji