With the final phase of the European Monetary Union underway,
concern has been raised over the regional implications of the
European Central Bank (ECB) Monetary Policy. Departing from the
standard approach utilized by the ECB, this book provides a
comprehensive theoretical framework to explore the ways through
which money and monetary policy may affect regions. Carlos
Rodriguez Fuentes, the rising star of Spanish economics, has
produced a work of impressive clarity which analyzes the effects of
regional monetary policy - with particular reference to European
Monetary Union. Here, he examines the role that the banking system
and the liquidity preference of economic agents play in the
transmission of central banks monetary policy decisions to regions
within a country or countries within a currency union. Rodriguez
Fuentes utilizes a unique framework built upon the basic principle
of the Post-Keynsian monetary theory which enables the
identification of a new way for money and monetary policy to have a
regional impact; the behavioural effect. This book, with it's
combination of literary and empirical approach will prove essential
reading for all students of economics and politics, as well as
readers who interested in the development of the European Union.
General
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