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Economic Determinants of Public Opinion About Joining the EMU: The Case of Sweden

Author

Listed:
  • Erlandsson, Mattias

    (Department of Economics, School of Economics and Commercial Law, Göteborg University)

Abstract

A potential Swedish membership in the third stage of the EMU (the currency union) will be determined in a referendum. The opinion polls preceding this referendum show strong variability in the Swedish public opinion over the last four years. In this paper I derive a simple theoretical model and test it empirically to establish the economic factors driving the opinion. I find that an increase in the nominal exchange rate variability makes the opinion more in favor of membership, while the opposite is true for unemployment variability.

Suggested Citation

  • Erlandsson, Mattias, 2002. "Economic Determinants of Public Opinion About Joining the EMU: The Case of Sweden," Working Papers in Economics 79, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0079
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    File URL: http://hdl.handle.net/2077/2886
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    More about this item

    Keywords

    Public opinion; referenda; monetary union;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior

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