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"This book offers an assessment of the different monetary and fiscal policy responses that have been implemented by national governments in major European and Asian countries faced with the Covid-19 crisis since 2020; it also deals with the case of the US experience as a benchmarking example. The book provides a comprehensive cross-country comparative study on health crisis management at the macroeconomic level. Its focus on monetary and fiscal policies across different countries in Asia, Europe and the USA makes it unique. Divided into three parts following a general introduction that sets the context of the study, the book deals with the case of the USA, EU and European countries as well as with that of key Asian countries. Of specific relevance is the European Union and euro-area contexts that serve as a framework to the different EU national monetary and fiscal policy responses. Each chapter deals with a specific country, including Italy and the UK in Europe and Singapore and South Korea in Asia, and covers the following topics: the extent of the outbreak of the public health crisis and its macroeconomic impact; the comparative examination of fiscal and monetary policy responses to both crises; and an overall assessment of the effectiveness of these policies along with the public health policy to mitigate the economic impact. Given the unprecedented nature of the Covid-19 crisis, anyone eager to know more about its macroeconomic impact and ensuing policies in a comparative framework will be keen to read this book. It will be essential reading to any researcher, policy maker and/or analyst working in the area of public policy and is also a unique contribution to the field of European studies, Asian studies and Comparative Economic Studies."

The economic crisis started at the United States in 2007 led to severely damaging consequences for the global economy, but the recession has been particularly intense and protracted in the Eurozone, with its periphery countries being the most affected ones. The confluence of very seriously imbalanced economies, negative spillovers from the global financial crisis and well-known faults in the European Union/ Eurozone institutional design has caused not only terrible consequences for these countries but serious disintegration effects (political, social and financial) in the whole area. The negative impact on the monetary and financial integration has been of a particular relevance, as it was the most advanced area of the common European project. Even if the institutions and governments in Europe has taken a large number of measures (not always in a timely and/or successful manner) to deal with the problems, the crisis has not yet been overcome. A brave and intelligent effort to progress towards a higher degree of integration (through a Banking Union, a Fiscal Union and a common pro-competitiveness strategy) is most surely needed to prevent the EU to suffer from a renationalization and become a simple free trade area.

The book is about money, central banking and constitutions. It explains how the European Central Bank was established to ensure stability and prosperity for the euro area. The ECB was guided and controlled by a coherent European Macroeconomic Constitution. However, this model has failed during recurring crises, and the ECB has started to act as the euro area fire brigade. Consequently, it is pushing the boundaries of monetary policy, and with that challenging the accountability mechanisms and fundamentally also the democratic legitimacy of the EMU. The book sheds light on this complex economic-constitutional setting with a view on the future. The imbalance between various new operations and a single price stability objective is difficult to remedy. New objectives of financial stability, economic adjustment and environmental sustainability can cause fundamental ruptures between the ECB's formal role and its actions, and they also dangerously overburden monetary policy moving forward with substantial risks.

The 2008 global financial crisis and the subsequent euro area sovereign debt crisis successively forced macroeconomists to reassess this conceptual framework. This thesis is a modest contribution to the huge efforts undertaken by macroeconomists following the crisis to meet this challenge, i.e. to develop some insights about the optimal use of unconventional policy tools. To do so, this thesis is twofold. Each part intends to explore from a theoretical perspective a fundamental macroeconomic situation that called for the use of unconventional policy instruments in the recent years. The first part, "Optimal Unconventional Policy in An Open Economy" analyzes the optimal use of unconventional policy instruments by the central bank in an open economy framework. Assuming that the presence of financial frictions changes the way monetary policy affects the economy, or that the occurence of exogenous shocks breaks the "divine coincidence", this part describes how a central bank should combine an unconventional policy instrument and conventional monetary policy to favor macroeconomic stabilization. The second part, "Optimal Fiscal Policy in a Currency Union", takes the standpoint of the governement of a country located in a currency union (typically the euro area). Such a country being deprived of monetary policy autonomy, this part considers the opportunity of using fiscal policy as a stabilization tool, and describes the optimal use of fiscal devaluations following idiosyncratic exogenous shocks. ; La crise financière mondiale qui a débuté en 2008, et la crise des dettes souveraines en zone euro qui l'a suivie, ont successivement forcé les macroéconomistes à repenser leur cadre conceptuel. Cette thèse est une modeste contribution aux efforts colossaux déployés par les macroéconomistes à travers le monde pour faire face à ce défi: renforcer la compréhension de l'utilisation optimale des outils de politique économique non conventionnels. A cette fin, elle est construite en deux parties. Chaque partie vise à explorer au plan théorique un "contexte macroéconomique-type" au sein duquel des outils de politique économique non conventionnels ont été employés ces dernières années. La première partie, intitulée "Politique Non Conventionelle Optimale en Economie Ouverte", analyse l'utilisation optimale d'instruments de politique économique non conventionels par une banque centrale en économie ouverte. En présence de frictions financières qui modifient la manière dont la politique monétaire affecte l'économie, ou en présence de chocs exogènes qui mettent en défaut la "divine coïncidence", cette partie décrit comment un banquier central devrait combiner un instrument de politique monétaire non conventionnelle et la politique monétaire conventionnelle à des fins de stabilisation macroéconomique. La seconde partie, "Politique Budgétaire Optimale en Union Monétaire", adopte le point de vue du gouvernement d'un pays situé en union monétaire (typiquement la zone euro). Un tel pays ne disposant d'une politique monétaire autonome (au plan national), cette partie étudie la possibilité pour un tel pays d'utiliser la politique budgétaire comme un outil de stabilisation, et décrit l'utilisation optimale des dévaluations fiscales en réponse à des chocs exogènes idiosyncratiques.

This paper discusses why Greece has done so poorly in comparison with all other European Union countries since the onslaught of the global financial crisis in 2008. To show what was wrong with its fiscal adjustment, this paper compares Greece with the other European Union country that was hit be the most severe fiscal crisis, namely Latvia. The conclusion is that front-loaded fiscal adjustment works much better. Greek economic policy has been a popular topic among opinion writers, notably Nobel Prize winner and New York Times columnist Paul Krugman, who claimed that Greece suffered from austerity. Because of his prominence in the international public debate, I shall scrutinize his arguments on the Greek crisis. The paper also examines what policy the International Monetary Fund has pursued with regard to Greece, and how its views have been influenced by the debate and Greek economic developments. Finally, the paper assesses what lessons can be drawn from the contrasting experiences of Latvia and Greece. The conclusion is that a fiscal adjustment should be sufficient to resolve the crisis to restore confidence and that it should be as front-loaded as is practically and politically possible.

Professor Bofinger is a member of Germany's Council of Economic Experts, the 'five wise men' who advise the German government on economic policy. A specialist in monetary policy, he played a pivotal role during the euro crisis and influenced many of Chancellor Angela Merkel's decisions during this challenging period. His ideas, like those of Ms. Merkel, are simple and clear. At the same time, he is one of the few free-market economists to enjoy a certain standing among unions, which in Germany are viewed as indispensable partners in guaranteeing that the country's industrial engine runs smoothly. In this interview with Jean-Paul Reaper, Peter Bofinger shares his opinion of certain past moves and decisions, along with his outlook for the future of Europe. Adapted from the source document.

The background of the economic crisis in the USSR is briefly examined. After listing essential features of the Soviet economy that illuminate the discrepancy between the country's resources & its performance, it is concluded that the nation is hampered by its lack of a planned economy & market mechanisms to determine supply & demand, & its failure to adopt knowledge-based, high technology industries. It is argued that monetary problems are compounded by the insignificant worth of the ruble in the world market & political instability. Several suggestions for reform are outlined. L. Baker

The introduction of the Euro carries the risk of counterfeit. Protection of the Euro within the EU cannot be achieved through existing international instruments or internal systems implemented by member states. More than any other matter, this illustrates the insufficient cooperation about penal matters among member states. How can member states accept the progressive abandonment of their specific national currency in favor of the Euro, but remain steadfast in regard to their penal powers? This paradox is more important than the disparity of judicial systems from the material & procedural point of view, namely the multiplicity of the authorities of pursuit, & the difficulties to efficiently fight against the counterfeit of the Euro, which includes considerable risks to the single monetary policy. Issues relating to the protection of the Euro may incite the member states to soften their position on identity concerns. E. Sanchez

В статье рассмотрена сравнительная характеристика интеграционных процессов ЕС и ЕАЭС на современном этапе. Дана оценка валютно-финансовой интеграции в рамках ЕАЭС. Приведен расчет макроэкономических показателей стран еврозоны. Авторами также описаны проблемы интеграционных процессов, пути их преодоления и новые точки роста. ; The article compares the current integration processes in the EU and the Eurasian Economic Union (EEU). The monetary and financial integration in the EEU is evaluated. Macroeconomic indicators of Eurozone are calculated. The authors consider the challenges of the integration processes, the ways of meeting them and the new areas of growth.

Intro -- Preface -- Contents -- 1 Introduction -- 1.1 The Controversial Macroeconomic Outcomes of Fiscal Policy -- 1.2 Does the Euro Area Needs a Fiscal Union? -- 1.3 The Macroeconomic Outcomes of Fiscal Policy in High Debt Euro Area Countries -- 1.4 Spillovers of German Fiscal Policies in the Euro Area -- References -- 2 The Common Framework for National Fiscal Policies and the Euro Area Fiscal Union -- 2.1 Introduction -- 2.2 The Common European Framework for National Fiscal Policies -- 2.2.1 Preventive Arm -- 2.2.2 Corrective Arm -- 2.3 Towards a Euro-Area Budget for the Fiscal Union? -- 2.3.1 Some Comparison with Existing Federal States -- 2.3.2 The Euro-Area Budget Architecture: Some Proposals From the Literature -- 2.3.3 Other Proposals for Fiscal Union: Automatic Fiscal Stabilizers -- 2.4 The Effects of Government Spending Shocks in the Euro Area. Selected Literature -- 2.5 Measuring Fiscal Policy at the Euro Area Level -- 2.5.1 The Response of Variables to a Euro-Area Government Spending Shock -- 2.5.2 The Response of Variables to a Euro-Area Government Investments Shock -- 2.6 An Alternative Identification Strategy of Government Spending Shocks -- 2.6.1 Recovering Government Spending Shocks by Sign Restrictions -- 2.6.2 Government Investment Shocks -- 2.7 The Effects of Government Spending Shocks Under an Accommodative Monetary Policy -- 2.8 Fiscal Multipliers: Results -- 2.9 Conclusions -- References -- 3 The Macroeconomic Effects of Fiscal Policy Shocks: A Review of the Literature -- 3.1 Introduction -- 3.2 Alternative Methodologies for the Identification of Fiscal Shocks -- 3.3 Structural VARs and Identification of Fiscal Shocks -- 3.4 Alternative Definitions of Fiscal Multipliers -- 3.5 The Dynamics Effects of Fiscal Shocks in the US Economy -- 3.6 The Estimated Effects of Fiscal Shocks in the European Economy

While the Court of Justice of the European Union has approved the European financial assistance schemes, the haircut of public creditors appears as a possible next step of escalation in the euro debt crisis. This article explores the legal boundaries set by the EU Treaty on such debt restructuring. Both the no-bailout clause and the prohibition of monetary state financing are at the core of the analysis. In its rulings in Pringle and Gauweiler, the Court specified the meaning of these provisions in relation to the conditions governing financial assistance programs. The analysis highlights the limitations set by these norms on the scope of potential modes of haircuts on public creditors. We find that a haircut on nominal debt would infringe the no-bailout clause and the involvement of the ECB would violate the ban on monetary state financing. However, there remain other forms of "soft haircuts", such as the lowering of interest rates and the extension of terms, which may be compatible with EU law. ; The ADEMU Working Paper Series is being supported by the European Commission Horizon 2020 European Union funding for Research & Innovation, grant agreement No 649396.

Almost all member states of the new European Union declared their wish to introduce the euro in the near future. The decision of the European Union institutions concerning Lithuania revealed the peculiarities and problems of the euro area enlargement to the Central and Eastern European countries, which are not easy to explain on a purely economic basis while all of them share the same market, and the economic growth restrictions imposed on them are quite disadvantageous. The article discusses a hypothesis that decision on the expansion of the euro zone is determined not only by fulfilment of the Maastricht criteria, but also by a complex of macroeconomic, institutional and political reasons. This article aims to discuss the problem related to the monetary integration in the Central and Eastern Europe. Of no less importance is the progress in implementing measures provided in the governments' programmes, convergence programmes and national plans of the euro adoption of the countries. Conclusions and proposals are presented on how the Central and Eastern European states must strengthen the monitoring of the monetary integration under different standpoints and interests of the players in the decision-making process regarding the euro area membership.