of a fiscal target zone model, where EMU member governments are willing to abide with the commitment to debt stability … means providing a monetary and/or fiscal emergency backstop to the irreversibility principle. Drawing on the target-zone …

one-sided target zone) vis-a-vis the euro to fight deflationary pressures in the aftermath of the Great Financial Crisis … target zone framework developed by Krugman (1991) that allows monetary authorities to determine ex-ante the maximum size of … foreign exchange market interventions that are expected to be necessary to implement and maintain a one-sided target zone. An …

concerns. Methods: We present a novel fiscal target zone model of the EMU, where public debt is hit by stochastic shocks and …

) and Chi-Fai Lo (The Chinese University of Hong Kong).This note uses a target-zone model to study the bond yield movements …

are addressed: first, what is generally meant by a "target zone" approach to exchange rate management and how can "hard … practicality of implementing a target zone approach. The issues discussed include the following: how would the target zones be …