Monetary Union and Precationary Labour-Market Reform
1998 (English)Report (Other academic)
The paper demonstrates that policy makers may have a precautionary motive to undertake more labour-market reform - an hence attain lower equilibrium unemployment - inside a monetary union than outside. The reason is a desire to reduce the utility cost of variations in employment when assymetric shocks can no longer be stabilised through domestic monetary policy.
Place, publisher, year, edition, pages
Stockholm: IIES , 1998. , 16 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University, ISSN 0347-8769 ; 659
monetary union, asymmetric shocks, stabilisation policy, labour-market reform, equilibrium unemployment
IdentifiersURN: urn:nbn:se:su:diva-41084OAI: oai:DiVA.org:su-41084DiVA: diva2:328238