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Why Does It Not Make Sense to Create a Monetary Union in MERCOSUR? A Keynesian Alternative Proposal

Fernando Ferrari-Filho
Authors registered in the RePEc Author Service: Fernando Ferrari Filho ()

Journal of Post Keynesian Economics, 2001, vol. 24, issue 2, 235-252

Abstract: The article has two objectives. On one hand, it intends to show how inconsistent the proposal of creating a currency union among the countries of MERCOSUR is, as the final step of an integration process in this region. On the other hand, it argues that only a (Post) Keynesian alternative proposal of (1) managing fiscal and monetary policies, and (2) requiring appropriate institutional arrangements can reconcile the full employment with external equilibrium to the MERCOSUR countries in a global world.

Date: 2001
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DOI: 10.1080/01603477.2001.11490325

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Handle: RePEc:mes:postke:v:24:y:2001:i:2:p:235-252