Conflicting Incentives for Public Support for EMU
Brigitte Granville () and
Manchester School, 2015, vol. 83, 142-157
type="main"> We analyse how government policy can exert a positive influence on public attitudes towards the Economic and Monetary Union given the existing fiscal policy framework and thus increase the likelihood of survival of the Eurozone. Results from applying the Brender and Drazen (‘Consolidation of New Democracy, Mass Attitudes, and Clientelism’, The American Economic Review, Vol. 99, No. 2, pp. 304–309) political economy model indicate the extent of the difficulty of maintaining public support for the monetary union.
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