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Disparities in the euro area: a problem for European economic policy

Catherine Mathieu () and Henri Sterdyniak ()

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Abstract: We intend to point out three issues. Disparities in growth, inflation and current account balances are a problem in the euro area. The current functioning of the euro area increases growth disparities between the Member States. It is not only domestic problems which could be improved by increasing flexibility in each country: it is the functioning of EMU that should be improved, especially in an enlarged euro area which will increase disparities further.

Date: 2006-09-28
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Published in 2006

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