EMU and ECB Conflicts

TL;DR

This paper examines the conflicts between governments and the European Central Bank within the EMU, focusing on exchange rate policies, fixed income criteria, and public debt management without natural adjustment mechanisms.

Contribution

It introduces a dynamical framework analyzing the conflict between government and central bank policies in the EMU context, highlighting the lack of natural adjustment mechanisms.

Findings

Identifies conflicts arising from fixed exchange and income rate policies.

Highlights the absence of natural adjustment mechanisms in public debt management.

Provides a dynamical analysis of government-central bank conflicts in EMU.

Abstract

In dynamical framework the conflict between government and the central bank according to the exchange Rate of payment of fixed rates and fixed rates of fixed income (EMU) convergence criteria such that the public debt / GDP ratio The method consists of calculating private public debt management in a public debt management system purpose there is no mechanism to allow naturally for this adjustment.