Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Macroeconomic Trends in the New Member Countries of the European Union Before the Euro Area Debt Crisis

Macroeconomic Trends in the New Member Countries of the European Union Before the Euro Area Debt... The objective of this paper is to outline the main macroeconomic trends in the new member countries of the European Union before the Euro Area debt crisis. In order to achieve this objective, the developments in a wide range of macroeconomic indicators (exchange rates, foreign trade, monetary policy, inflation, price levels, and fiscal balances, sovereign debt, GDP, labour productivity, composition of output and current account balances) have been analyzed. The analysis results in recommendations on the macroeconomic policies the new member countries should have implemented under global crisis condition in accordance with the peculiarities of their economies and their specific national priorities. Keywords: new member countries, macroeconomic trends, global crisis JEL classification: F15, F36, E60, F40 1. INTRODUCTION In mid-September 2008 the global financial crisis, which till then had struck only advanced economies, hit directly the new member countries (NMC). The lack of liquidity and the reassessment of risk by foreign investors restricted credit for businesses and households and accelerated the decline in demand. This decline led to a sharp decrease in production and trade in the NMC. The distrust of investors to some NMC resulted in fall in the interbank market liquidity and in record high levels of http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Annals of the Alexandru Ioan Cuza University - Economics de Gruyter

Macroeconomic Trends in the New Member Countries of the European Union Before the Euro Area Debt Crisis

Download PDF
21 pages

Loading next page...
 
/lp/de-gruyter/macroeconomic-trends-in-the-new-member-countries-of-the-european-union-b7TwN796kf

References

References for this paper are not available at this time. We will be adding them shortly, thank you for your patience.

Publisher
de Gruyter
Copyright
Sciendo is a De Gruyter company © 2018. ALL RIGHTS RESERVED Powered by PubFactory
ISSN
2068-8717
DOI
10.2478/aicue-2014-0014
Publisher site
See Article on Publisher Site

Abstract

The objective of this paper is to outline the main macroeconomic trends in the new member countries of the European Union before the Euro Area debt crisis. In order to achieve this objective, the developments in a wide range of macroeconomic indicators (exchange rates, foreign trade, monetary policy, inflation, price levels, and fiscal balances, sovereign debt, GDP, labour productivity, composition of output and current account balances) have been analyzed. The analysis results in recommendations on the macroeconomic policies the new member countries should have implemented under global crisis condition in accordance with the peculiarities of their economies and their specific national priorities. Keywords: new member countries, macroeconomic trends, global crisis JEL classification: F15, F36, E60, F40 1. INTRODUCTION In mid-September 2008 the global financial crisis, which till then had struck only advanced economies, hit directly the new member countries (NMC). The lack of liquidity and the reassessment of risk by foreign investors restricted credit for businesses and households and accelerated the decline in demand. This decline led to a sharp decrease in production and trade in the NMC. The distrust of investors to some NMC resulted in fall in the interbank market liquidity and in record high levels of

Journal

Annals of the Alexandru Ioan Cuza University - Economics – de Gruyter

Published: Dec 1, 2014

Keywords: Business and Economics; Political Economics; Political Economics, other

References