This paper reviews the influence of a variety of different monetary rules for the G3 economies on the comparative simulation properties of a recent version of the OECD INTERLINK model. The simulated shocks are typically of a "global" nature, with the main objective being to assess the relative...

The recent reform of the Stability and Growth Pact provides more leeway for EU governments to temporarily breach the 3% deficit limit if this facilitates the implementation of initially expensive reforms. But the implementation of this principle is not obvious as budgets would need to specify...