The path towards economic and monetary integration

The Portuguese experience

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

The Portuguese economy initiated its path towards economic and monetary integration in 1960 by taking part in the group of countries that founded the European Free Trade Association. Since then until the adoption of the euro as the national currency in 1999 a long path was followed. The economic and financial integration process has been successful and benefited from the support of a large majority of domestic agents. Along this path the country witnessed substantial real and nominal convergence to the European Union average. However, Portugal is still lagging behind and important challenges lie ahead. Economic and financial integration in the EU was a catalyst for needed economic reforms, it increased the degree of openness and the gains from trade and facilitated nominal convergence through clearly defined and politically assumed macroeconomic objectives. Nevertheless, as the recent years in Portugal illustrate, financial and monetary integration do not guarantee sustainable economic growth nor avoid macroeconomic imbalances. Only continued increases in total factor productivity based on effective supply-side policies can deliver these results.

Original languageEnglish
Pages (from-to)413-429
Number of pages17
JournalFinance a Uver - Czech Journal of Economics and Finance
Volume53
Issue number9-10
Publication statusPublished - 1 Jan 2003

Fingerprint

Monetary integration
Financial integration
Economic integration
Portugal
Catalyst
European Union
Trade associations
Integration process
Economic growth
Currency
Openness
Economic reform
Supply side
Guarantee
Nominal convergence
Macroeconomic imbalances
Gains from trade
Free trade
Real and nominal convergence
Total factor productivity

Keywords

  • Economic and monetary integration
  • Portuguese economy

Cite this

@article{6dad1ec8e9b44d719c9670f387884525,
title = "The path towards economic and monetary integration: The Portuguese experience",
abstract = "The Portuguese economy initiated its path towards economic and monetary integration in 1960 by taking part in the group of countries that founded the European Free Trade Association. Since then until the adoption of the euro as the national currency in 1999 a long path was followed. The economic and financial integration process has been successful and benefited from the support of a large majority of domestic agents. Along this path the country witnessed substantial real and nominal convergence to the European Union average. However, Portugal is still lagging behind and important challenges lie ahead. Economic and financial integration in the EU was a catalyst for needed economic reforms, it increased the degree of openness and the gains from trade and facilitated nominal convergence through clearly defined and politically assumed macroeconomic objectives. Nevertheless, as the recent years in Portugal illustrate, financial and monetary integration do not guarantee sustainable economic growth nor avoid macroeconomic imbalances. Only continued increases in total factor productivity based on effective supply-side policies can deliver these results.",
keywords = "Economic and monetary integration, Portuguese economy",
author = "Jo{\~a}o Amador",
year = "2003",
month = "1",
day = "1",
language = "English",
volume = "53",
pages = "413--429",
journal = "Finance a Uver - Czech Journal of Economics and Finance",
issn = "0015-1920",
publisher = "Faculty of Social Sciences Charles University",
number = "9-10",

}

The path towards economic and monetary integration : The Portuguese experience. / Amador, João.

In: Finance a Uver - Czech Journal of Economics and Finance, Vol. 53, No. 9-10, 01.01.2003, p. 413-429.

Research output: Contribution to journalArticle

TY - JOUR

T1 - The path towards economic and monetary integration

T2 - The Portuguese experience

AU - Amador, João

PY - 2003/1/1

Y1 - 2003/1/1

N2 - The Portuguese economy initiated its path towards economic and monetary integration in 1960 by taking part in the group of countries that founded the European Free Trade Association. Since then until the adoption of the euro as the national currency in 1999 a long path was followed. The economic and financial integration process has been successful and benefited from the support of a large majority of domestic agents. Along this path the country witnessed substantial real and nominal convergence to the European Union average. However, Portugal is still lagging behind and important challenges lie ahead. Economic and financial integration in the EU was a catalyst for needed economic reforms, it increased the degree of openness and the gains from trade and facilitated nominal convergence through clearly defined and politically assumed macroeconomic objectives. Nevertheless, as the recent years in Portugal illustrate, financial and monetary integration do not guarantee sustainable economic growth nor avoid macroeconomic imbalances. Only continued increases in total factor productivity based on effective supply-side policies can deliver these results.

AB - The Portuguese economy initiated its path towards economic and monetary integration in 1960 by taking part in the group of countries that founded the European Free Trade Association. Since then until the adoption of the euro as the national currency in 1999 a long path was followed. The economic and financial integration process has been successful and benefited from the support of a large majority of domestic agents. Along this path the country witnessed substantial real and nominal convergence to the European Union average. However, Portugal is still lagging behind and important challenges lie ahead. Economic and financial integration in the EU was a catalyst for needed economic reforms, it increased the degree of openness and the gains from trade and facilitated nominal convergence through clearly defined and politically assumed macroeconomic objectives. Nevertheless, as the recent years in Portugal illustrate, financial and monetary integration do not guarantee sustainable economic growth nor avoid macroeconomic imbalances. Only continued increases in total factor productivity based on effective supply-side policies can deliver these results.

KW - Economic and monetary integration

KW - Portuguese economy

UR - http://www.scopus.com/inward/record.url?scp=21944455594&partnerID=8YFLogxK

M3 - Article

VL - 53

SP - 413

EP - 429

JO - Finance a Uver - Czech Journal of Economics and Finance

JF - Finance a Uver - Czech Journal of Economics and Finance

SN - 0015-1920

IS - 9-10

ER -