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Strategic Policy Interactions in a Monetary Union By Michael Carlberg
Publisher: Springer | ISBN: 3540927506 | edition 2009 | PDF | 256 pages | 1,01 mb

This book studies the strategic policy interactions in a monetary union. The leading protagonists are the European Central Bank and national governments. The target of the ECB is low inflation in Europe. The targets of a national government are low unemployment and a low structural deficit. There are demand shocks, supply shocks, and mixed shocks. There are country-specific shocks and common shocks. This book develops a series of basic, intermediate, and more advanced models. Here the focus is on the Nash equilibrium.

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