Original scientific paper
The Theory of Optimum Currency Areas: A Literature Review
Tanja Broz
Full text: croatian pdf 79 Kb
page 52-78
downloads: 710
cite
APA 6th Edition
Broz, T. (2005). The Theory of Optimum Currency Areas: A Literature Review. Privredna kretanja i ekonomska politika, 15 (104), 52-78. Retrieved from https://hrcak.srce.hr/18402
MLA 8th Edition
Broz, Tanja. "The Theory of Optimum Currency Areas: A Literature Review." Privredna kretanja i ekonomska politika, vol. 15, no. 104, 2005, pp. 52-78. https://hrcak.srce.hr/18402. Accessed 23 Nov. 2024.
Chicago 17th Edition
Broz, Tanja. "The Theory of Optimum Currency Areas: A Literature Review." Privredna kretanja i ekonomska politika 15, no. 104 (2005): 52-78. https://hrcak.srce.hr/18402
Harvard
Broz, T. (2005). 'The Theory of Optimum Currency Areas: A Literature Review', Privredna kretanja i ekonomska politika, 15(104), pp. 52-78. Available at: https://hrcak.srce.hr/18402 (Accessed 23 November 2024)
Vancouver
Broz T. The Theory of Optimum Currency Areas: A Literature Review. Privredna kretanja i ekonomska politika [Internet]. 2005 [cited 2024 November 23];15(104):52-78. Available from: https://hrcak.srce.hr/18402
IEEE
T. Broz, "The Theory of Optimum Currency Areas: A Literature Review", Privredna kretanja i ekonomska politika, vol.15, no. 104, pp. 52-78, 2005. [Online]. Available: https://hrcak.srce.hr/18402. [Accessed: 23 November 2024]
Full text: english pdf 162 Kb
page 52-78
downloads: 19.174
cite
APA 6th Edition
Broz, T. (2005). The Theory of Optimum Currency Areas: A Literature Review. Privredna kretanja i ekonomska politika, 15 (104), 52-78. Retrieved from https://hrcak.srce.hr/18402
MLA 8th Edition
Broz, Tanja. "The Theory of Optimum Currency Areas: A Literature Review." Privredna kretanja i ekonomska politika, vol. 15, no. 104, 2005, pp. 52-78. https://hrcak.srce.hr/18402. Accessed 23 Nov. 2024.
Chicago 17th Edition
Broz, Tanja. "The Theory of Optimum Currency Areas: A Literature Review." Privredna kretanja i ekonomska politika 15, no. 104 (2005): 52-78. https://hrcak.srce.hr/18402
Harvard
Broz, T. (2005). 'The Theory of Optimum Currency Areas: A Literature Review', Privredna kretanja i ekonomska politika, 15(104), pp. 52-78. Available at: https://hrcak.srce.hr/18402 (Accessed 23 November 2024)
Vancouver
Broz T. The Theory of Optimum Currency Areas: A Literature Review. Privredna kretanja i ekonomska politika [Internet]. 2005 [cited 2024 November 23];15(104):52-78. Available from: https://hrcak.srce.hr/18402
IEEE
T. Broz, "The Theory of Optimum Currency Areas: A Literature Review", Privredna kretanja i ekonomska politika, vol.15, no. 104, pp. 52-78, 2005. [Online]. Available: https://hrcak.srce.hr/18402. [Accessed: 23 November 2024]
Abstract
This paper reviews some of the most important contributions to the theory of optimum currency areas. The first part reviews traditional contributions, while the second part reviews modern views on the optimum currency areas theory. Even though many additional criteria have been introduced in this modern phase, traditional contributions are still relevant. Some of the most important criteria include labour mobility, price and wage flexibility, degree of openness, product diversification, inflation differentials, effectiveness of monetary policy, correlation and variation of shocks, character of shocks and political factors. If, for example, potential members of a common currency area do have labour force that is mobile, sufficient price and wage flexibility, a high degree of openness, similar inflation rates and political will to abandon their own currency and adopt a new one, then the common monetary policy can be a benefit to all members and therefore the usefulness of nominal exchange rate adjustments within members is reduced.
Keywords
optimum currency areas; monetary integration
Hrčak ID:
18402
URI
https://hrcak.srce.hr/18402
Publication date:
15.10.2005.
Article data in other languages:
croatian
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