Della Posta, Pompeo; Tamborini, Roberto - In: Oxford open economics 1 (2022), pp. 1-16
Objectives: Is the Economic and Monetary Union (EMU) truly ‘irreversible’ as stated in the treaties? (i) From the …, systemic shocks the EMU faces a trilemma among preserving its irreversibility, monetary orthodoxy and fiscal orthodoxy … concerns. Methods: We present a novel fiscal target zone model of the EMU, where public debt is hit by stochastic shocks and …