On the Endogeneity of an Exogenous OCA-Criterion: The Impact of Specialisation on the Synchronisation of Regional Business Cycles in Europe

Ansgar Belke and Jens M. Heine

No 26382, Discussion Paper Series from Hamburg Institute of International Economics

Abstract: This paper empirically assesses the impact of specialisation on the synchronisation of regional business cycles in two core countries of EMU, namely France and Germany. Several specialisation indices are introduced and some first stylised facts about interregional business cycle correlations are derived. Second, region pair specific and pooled estimations are enacted and tested for robustness in order to calculate the impact of specialization on the degree of business cycle synchronisation. However, our regression results confirm the hypothesis of a positive impact only partly, but they underline the problem of a common monetary policy for uncommon regions which has already existed in the DM- and in the Franc-zone before. Der vorliegende empirische Beitrag untersucht die Auswirkungen realwirtschaftlicher Veränderungen auf den konjunkturellen Gleichlauf regionaler Konjunkturzyklen. In einem ersten Schritt werden zunächst verschiedene Maßzahlen zur Bestimmung der regionalen Spezialisierung sowie einige stilisierte Fakten bezüglich des Synchronisationsverhaltens regionaler Konjunkturzyklen vorgestellt. In einem zweiten Schritt wird auf der Basis ökonometrischer Verfahren der quantitative Einfluss von Strukturveränderungen auf den Synchronisationsgrad ermittelt. Zwar kann die aufgestellte Hypothese einer messbaren Einwirkung nur partiell bestätigt werden, die Resultate reflektieren jedoch das schon in der DM- und Franc-Zone bestehende Problem einer gemeinsamen Geldpolitik für unterschiedliche Regionen.

Keywords: Community/Rural/Urban Development; Labor and Human Capital (search for similar items in EconPapers)
Pages: 60
Date: 2001
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://ageconsearch.umn.edu/record/26382/files/dp010119.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:hwwadp:26382

DOI: 10.22004/ag.econ.26382

Access Statistics for this paper

More papers in Discussion Paper Series from Hamburg Institute of International Economics Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().