A note on European external imbalances and the euro adoption

@inproceedings{Carrasco2015ANO,
  title={A note on European external imbalances and the euro adoption},
  author={Carlos Acu{\~n}a Carrasco},
  year={2015}
}
In this note, we empirically investigate the effects of the euro adoption in the current account in the Eurozone (EA). As a whole, EA countries have presented a current account close to balance. However, at the individual level, EA countries have presented significant and persistent divergences in their current account balances. We implement a differences-in-differences approach using EU-27 and OECD high-income countries as control groups with robust estimation techniques. Our results show… CONTINUE READING