Economic and Monetary Union (EMU) has transformed Europe and has created an integrated pan-European economy. Much … political economy channel of EMU as the monetary union implies that member states had to transfer or at least curtail their … impact of political shocks on the domestic economy of member states but magnified the transmission of political shocks within …

In a highly interlinked global economy a key question for policy makers is how foreign shocks and policies transmit to … the domestic economy. We develop a semi-structural multi-country model with rich real and financial channels of …

This paper explores the role that the imperfect knowledge of the structure of the economy plays in the uncertainty … the policymaker faces when setting the monetary policy and evaluating its effect on real economy. We find evidence of a …