May the Euro Increase Exchange Rate Volatility?

  • Jérôme Creel
  • Henri Sterdyniak


The introduction of the euro is such an innovation that it will keep on changing substantially the way the international monetary system works. The GDP of the eleven countries of Euroland amounts to 80 percent of US GDP and is double the Japanese one. Their degree of openness represents 14 percent of their GDP, when France’s or Germany’s were up 23 percent and 28 percent as a European mean (see Table 1).


Exchange Rate Interest Rate Monetary Policy Fiscal Policy European Central Bank 
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Copyright information

© Springer Science+Business Media New York 2001

Authors and Affiliations

  • Jérôme Creel
    • 1
  • Henri Sterdyniak
    • 1
  1. 1.OFCE and University of Paris-DauphineFrance

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