Article ID Journal Published Year Pages File Type
964457 Journal of International Money and Finance 2008 17 Pages PDF
Abstract

Was the adoption of the euro accompanied by an increase in prices? Did it promote goods market arbitrage in the form of faster convergence to a common price? By comparing the experience of eurozone countries to non-euro European countries in a ‘difference-in-differences’ specification, we net out effects on prices unrelated to the euro. We find neither evidence of significant price increases associated with the euro, nor evidence of a significant improvement in market integration.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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