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Endogenitatea criteriilor teoriei zonei monetare optime
[The endogeneity of the optimum currency area criteria]

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  • Puiu, Cristina

Abstract

This paper aims to review existing literature on the endogenous effects of monetary integration: whether sharing a single currency may set in motion forces bringing countries closer together. The first part is a review of significant paper in the vast literature on the endogeneity of optimum currency area theory that focuses on the main criteria that are subject of this hypothesis. The second part considers empirical literature on the effects of monetary integration on trade and business cycle synchronization based on evidences provided by the euro area experience. The main conclusion is that the hypothesis attracted a large number of studies and, although they provide heterogeneous results caused by using different methodologies, they all indicate a positive effect.

Suggested Citation

  • Puiu, Cristina, 2010. "Endogenitatea criteriilor teoriei zonei monetare optime [The endogeneity of the optimum currency area criteria]," MPRA Paper 28470, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:28470
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    References listed on IDEAS

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    7. Hiroya Akiba & Yukihiro Iida, 2009. "Monetary Unions and Endogeneity of the OCA Criteria," Global Economic Review, Taylor & Francis Journals, vol. 38(1), pages 101-116.
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    More about this item

    Keywords

    optimum currency areas; endogeneity; business cycle correlation; Rose Effect;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions

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