This paper investigates whether firms with direct access to capital markets 'help out' firms who are reliant on credit from banks by extending more trade credit when times are hard. In other words, is there a 'trade credit channel' that offsets the bank credit channel more familiar to monetary...

This paper examines the link between currency areas and customs unions. The size of a bloc of countries practising some form of co-ordination of monetary policy is limited by the incentive to free-ride that formation of the bloc creates. However, when the threat of a trade war is introduced, the...

It is well known from the analysis of monetary policy co-ordination of two countries that co-ordination often Pareto-dominates the outcome of the non-co-operative game. Hence both countries will have an incentive to form a union when it is certain that the other country will also join. However,...