Monetary and Fiscal Policies in the Euro Area (eBook)

Preface 5
Executive Summary 7
Contents in Brief 9
Contents 11
Introduction 17
Part One Basic Models of a Monetary Union 28
Chapter 1 The Small Monetary Union of Two Countries 29
Chapter 2 The World as a Whole 36
Chapter 3 The World of Two Monetary Regions 40
Chapter 4 The Large Monetary Union of Two Countries 49
Part Two Monetary Interactions between Europe and America 59
Chapter 1 Monetary Competition between Europe and America 61
Chapter 2 Monetary Cooperation between Europe and America 87
Part Three Fiscal Interactions between Germany and France 100
Chapter 1 Fiscal Competition between Germany and France 101
Chapter 2 Fiscal Cooperation between Germany and France 115
Part Four Monetary and Fiscal Interactions Intermediate Models 122
Chapter 1 Competition between European Central Bank^ German Government^ and French Government 123
Chapter 2 Cooperation between European Central Bank, German Government, and French Government 136
Chapter 3 Competition between European Central Bank^ American Central Bank^ German Government^ and French Government 143
Chapter 4 Cooperation between European Central Bank, American Central Bank, German Government, and French Government 153
Part Five Monetary and Fiscal Interactions Advanced Models 164
Chapter 1 Cold- Turkey Policies: Simultaneous Decisions 165
Chapter 2 Gradualist Policies: Simultaneous Decisions 171
Chapter 3 Fast Monetary Competition and Slow Fiscal Competition 177
Chapter 4 Monetary Cooperation between Europe and America, Fiscal Competition between Germany and France 181
Chapter 5 Monetary Cooperation between Europe and America, Fiscal Cooperation between Germany and France 191
Chapter 6 Policy Cooperation within Europe, PoUcy Competition between Europe and America 200
Part Six Rational Policy Expectations 207
Chapter 1 Monetary Competition between Europe and America 209
Chapter 2 Fiscal Competition between Germany and France 214
Chapter 3 Monetary and Fiscal Competition: Sequential Decisions 219
Chapter 4 Monetary and Fiscal Competition: Simultaneous Decisions 228
Chapter 5 Monetary Cooperation between Europe and America^ Fiscal Competition between Germany and France 230
Chapter 6 Policy Cooperation within Europe^ Policy Competition between Europe and America 235
Synopsis 243
Conclusion 247
Result 275
Symbols 283
A Brief Survey of the Literature 285
The Current Research Project 288
References 291
Index 303