0000000000291831
AUTHOR
Manuel Sanchis I Marco
showing 7 related works from this author
The Concept of Labour Market Flexicurity in the Eurozone
2013
This chapter discusses the evolution of the idea of a flexible labour market as a smooth shock absorber in case of asymmetric shocks. The concept of flexible labour markets became an institutionally well-established concept when the OECD constructed its index of labour market strictness. The OECD recognised, however, the weakness of its narrow approach and the European Commission put forward the more novel notion of flexicurity. Next, this chapter explains how the proposal of the concept of flexicurity aims at reaching a reasonable agreement between both the efficiency and the security principles by taking into consideration the interest of all the stakeholders in the labour market, includi…
The Economic Rationale of Fiscal Rules in OCAs: The Stability and Growth Pact and the Excessive Deficit Procedure
2013
This chapter examines the case of different regions within a single country that wish to share a common currency, even though they have divergent trends in unemployment, inflation, wages, non-wage costs and productivity. This situation compares with the case of a group of EU countries, each with its own decentralised national budget, that have established a monetary union and that are facing asymmetric shocks. As such an economic context requires fiscal commitments from national governments, we analyse the economic rationale of setting fiscal rules for a common currency area and the resulting EU institutional frame for the Stability and Growth Pact (SGP) and the Excessive Deficit Procedure …
The Spanish Case: The Housing Market Bubble and External Disequilibria
2013
The chapter recalls the major issues at stake in the Spanish economy since 1996, a time when financial markets started to discount the Spanish entry into the Eurozone. We start with a brief analysis of the most recent economic developments, and the current macroeconomic imbalances. As of 2007, the Spanish economy underwent its worst period in recent history, since the Stabilisation Plan was implemented in 1959. When 2008 came, however, what was most worrying was the sense of disarray that the Government projected: it simply took measures against the global financial crisis, as though this were the major, and indeed, the only crisis to cope with. Nevertheless, what affected the Spanish econo…
The Economics of Monetary Union: The Theory of Optimum Currency Areas
2013
In the 1960s, the theory of Optimum Currency Areas (OCAs) emerged as a by-product of the theoretical debate between fixed and flexible exchange rates. The OCAs approach singles out an economic characteristic to define an economic domain where there is exchange rate fixity erga intra, while there is exchange rate flexibility erga extra. In an optimum currency area, exchange rates fixity prevails internally without any type of internal or external disequilibrium. Each single characteristic ensures that floating or regular adjustments in nominal exchange rates are neither necessary, efficient nor desirable for stabilisation purposes. The literature proposes several economic criteria: factor mo…
Coping with Asymmetric Shocks in the EMU: The Role of Labour Market Flexibility
2013
The chapter discusses the economic conditions for the success of EMU when there is still a need for structural reforms in the markets of goods and services, and factors of production. In view of asymmetric shocks, experience shows that behaviour in nominal and real wage growth resulted in increased unemployment throughout the EU15. Fiscal policy, on the other hand, could mitigate to some extent the burden of wage adjustment, and could play an important role in improving productivity. In general, however, smooth shock-absorption requires a flexible wage formation process to circumvent low employment levels, but the risk of hysteresis would remain. To avoid the accumulation of wage and labour…
The Global Crisis and Alternative Scenarios to Save the Euro: A Spanish Perspective
2013
That the euro was in trouble became evident after the financial markets' turmoil the summer of 2007. The global financial crisis called into question some of the dogma propounded by the champions of liberal capitalism, such as the efficiency of financial markets. Whereas in the US several banks went bankrupt, in the EU the banking sector was recapitalised, and fiscal measures were taken to support companies and families, and to stimulate the economy; moreover, an institutional framework was set up to improve financial regulation and supervision. The banking and financial crisis was followed, as usual, by a debt crisis. In 2010–11, successive European Summits accelerated the creation of fina…
L’euro en el seu laberint
2015
En el número 50 de la revista L'Espill trobaràs un dossier monogràfic sobre "La crisi europea. Europa com a idea i com a projecte, avui", amb contribucions d'Adam Zagajewski, Joan F. Mira, Antoni Mora, Marina Garcés, Simona Škrabec, Andrei Kurkov, Antoni Martí Monterde, Enzo Traverso, Wolf Lepenies, Robert Menasse, Josep Maria Terricabras, Manuel Sanchis, Estanislau Vidal-Folch, Sebastian Landschbauer, Étienne Balibar, Ulrike Guérot, Josep Maria Martorell, Montserrat Daban, Francesc Xavier Grau i Josep Lluís Gómez Mompart. A més, una enquesta d'Adolf Beltran sobre el present i el futur d'Europa i dos documents, de Joan Fuster i de Vicent Ventura.