Focusing on business cycle synchronization within the Euro Area, the book examines its viability as an Optimal Currency Area amidst economic challenges, particularly highlighted by the 2010 sovereign debt crisis. It investigates whether the Euro Area has evolved since its inception and identifies crucial factors that could enhance the stability and effectiveness of the common currency in the future.
Focusing on the criterion of factor mobility, this volume explores labor and capital mobility within the Euro area and its impact on mitigating economic shocks. The authors utilize applied econometric techniques to analyze the evolution of the Euro and its future prospects. This work is part of a three-volume series examining critical criteria for Optimal Currency Areas, making it valuable for researchers in financial economics, macroeconomics, and economic policy.