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Bank of Japan Discussion Paper

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RESEARCH - 'Monetary and Fiscal Policy in the European Monetary Union' by Juergen von Hagen and Matthias Brueckner - The introductory phase of the European Monetary Union ended with the emission of euro currency in 2002. This paper presents a review of the experiences with the new monetary union. Using a Taylor-rule, the authors analyse the ECB's conduct of monetary policy. The empirical results suggests that the ECB applies similar weights to inflation and the output gap as the Bundesbank in

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