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Economic Growth in Denmark, Sweden and the United Kingdom since the Start of Monetary Union

Author

Listed:
  • Gabriel Moser

    (Oesterreichische Nationalbank)

  • Wolfgang Pointner

    (Oesterreichische Nationalbank)

  • Gerhard Reitschuler

    (Oesterreichische Nationalbank)

Abstract

This study analyzes GDP growth in Denmark, Sweden and the United Kingdom, examining the determinants of potential growth, cyclical fluctuations in GDP and the contribution of the national economic policy of each of the three countries. High spending on research and development, particularly in information and communications technology, is identified as the main force driving growth in Sweden while a robust increase in private consumption resulting from rising asset prices is found to have been the key growth driver in the United Kingdom. In Denmark and Sweden, swings in the business cycle are being successfully offset through fiscal policy and other measures. The United Kingdom has made considerable progress with respect to business cycle convergence with the euro area, a significant factor for joining Economic and Monetary Union.

Suggested Citation

  • Gabriel Moser & Wolfgang Pointner & Gerhard Reitschuler, 2004. "Economic Growth in Denmark, Sweden and the United Kingdom since the Start of Monetary Union," Monetary Policy & the Economy, Oesterreichische Nationalbank (Austrian Central Bank), issue 4, pages 53-66.
    • Handle: RePEc:onb:oenbmp:y:2004:i:4:b:4
    as

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    References listed on IDEAS

    as
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    Keywords

    Economic Growth; Monetary Union;

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