Los PIIGS en tiempos de crisis de deuda soberana: la pertinencia de usar el euro (The PIIGS in times of sovereign debt crisis: the relevance of using the euro)

The aim of this paper is to evaluate the relevance of PIIGS using the euro. The results of the text are: (i) the paper reveals that for the case of PIIGS, it is not optimal to use the euro because they do not meet many of the criteria of the Theory of Optimum Currency Areas; (ii) Greece is the extre...

Full description

Saved in:
Bibliographic Details
Published in:Investigación económica 2012-07, Vol.71 (281), p.14
Main Authors: Acosta, Edgar Juan Saucedo, Colom, Jordi Bacaria I, Hernández, Josefa Carolina Fortuno
Format: Article
Language:English
Subjects:
Economic crisis
Economic theory
Euro
Monetary policy
Sovereign debt
Studies
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The aim of this paper is to evaluate the relevance of PIIGS using the euro. The results of the text are: (i) the paper reveals that for the case of PIIGS, it is not optimal to use the euro because they do not meet many of the criteria of the Theory of Optimum Currency Areas; (ii) Greece is the extreme case, because it is the country with the lowest degree of fulfillment of the criteria; (iii) the main incentive for the monetary integration of the PIIGS was their political proximity with its neighbors and the desire to import stability of countries, like Germany with a credible monetary policy, and (iv) it is reasonable that the United Kingdom continue using the pound, because it has the least political proximity to the European Union and a low degree of trade integration with their neighbors. [PUBLICATION ABSTRACT]
ISSN:0185-1667