Helping with the Homework: Support Mechanisms for Uncertain Reforms in a Monetary Union-Reference-Cited by-同舟云学术

Helping with the Homework: Support Mechanisms for Uncertain Reforms in a Monetary Union

Published:2019-08-24 Issue:5-6 Volume:239 Page:983-1004
ISSN:2366-049X
Container-title:Jahrbücher für Nationalökonomie und Statistik
language:en
Short-container-title:

Author:

Hefeker Carsten¹

Affiliation:

1. University of Siegen and CESifo , 57068 Siegen , Germany

Abstract

Abstract A lack of structural reforms is often considered as a major problem in many member countries of EMU. This lack is arguably partly due to uncertainty about outcomes and a disregard for how policies spill over to other countries. Monetary union can reinforce this underprovision of structural reforms. Because centralization of structural policies is politically not feasible, I discuss subsidies for reforms and insurance against negative outcomes as alternative mechanisms that increase reform efforts. The paper derives the optimal use of those mechanisms and discusses their implementability.

Publisher

Walter de Gruyter GmbH

Subject

Economics and Econometrics,Social Sciences (miscellaneous),General Business, Management and Accounting

Link

https://www.degruyter.com/document/doi/10.1515/jbnst-2018-0075/pdf

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