Category Archives: European Interdependences

The UK Referendum on EU Membership: Narrative, Economic Realities and Political Ambitions

As the the British Prime Minister is on the verge of announcing a referendum on continued UK membership of the EU, this post considers the narrative surrounding this issue and concludes that despite the arguments in favour or against, voter … Continue reading

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The European Banking Union Negotiations – Supervision

The banking union is a particularly important item in the long term reform agenda of the EU/Euro-Zone, and one that has often been neglected. In a crisis that is characterised by the linkages between public finances and the banking sectors, … Continue reading

Posted in Banking, ECB, European Integration, European Interdependences, Finance, Inflation, Sovereign debt Crisis, Week Ahead | Tagged , , , , , , , , , , , , , , , , , , , | Leave a comment

On International Political Economy Equilibria – Introductory thoughts, Constraints and some Intuition

Analysts, particularly economists, like to think of the world as a system moving towards and around “stable equilibria”. While this is not necessarily always true and a lot of systems do behave as a random walk, the relative usefulness of equilibrum … Continue reading

Posted in Economic Concepts, European Integration, European Interdependences, Sovereign debt Crisis, World Affairs | Tagged , , , , , , , , , , , , , , , , , , , , | Leave a comment

Divergence in the Euro-Zone: Famous, Obscure and Predictable Facts

In a previous post about the theory of optimum currency areas (OCA), asymmetric shocks, structural problems and the intrinsic need that this creates for the institution of a fiscal union, I argued that incomplete by monetary unions (i.e.: lacking a … Continue reading

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OCA Theory – Asymmetric shocks in the Euro-Zone, Long Term Structural Problems & the need for EU Fiscal Union

As growth has found its way back on the discourse of the Euro-Zone sovereign debt crisis, I take the opportunity to briefly describe the simple model in the back of most (decent) economists discussing the long term structural problems underlying … Continue reading

Posted in Economic Concepts, European Integration, European Interdependences, Uncategorized | Tagged , , , , , , , , , , , , , , , | 1 Comment

Why Germans should support the Euro: TIBA, not TINA

I wish I had thought of writing this a long time ago, but unfortunately I did not. Hopefully this post will go some way towards providing a long overdue argument for the benefits of EMU membership to Germany. What I … Continue reading

Posted in European Interdependences, European National Politics, Uncategorized | Tagged , , , , , , | 1 Comment