European monetary union and capital markets Historical overview of the transition to monetary union in Europe Kerk Phillips Jeffrey M. Wrase Country and industry effects in Eurolands equity markets Ivo J.M. Arnold Intra day transmission of international stock prices Cheol S. Eun Jin Gil Jeong Organization and policy procedures of the European system of central banks Jeffrey M. Wrase Monetary and fiscal policy rules in the european economic and monetary union : a simulation analysis Gottfried Haber Reinhard Neck Warwick J. McKibbin A retrospective structural break analysis of the French German interest rate differential in the run up to EMU J(c)Øer(c)Đome Henry Peter McAdam Is there potential for monetary union outside Europe Vince Hooper Monetary union expansion : the role of market power in trade Mark M. Spiegel The European monetary union Lall B. Ramrattan Cathyann D. Tully Michael Szenberg The euro exchange rate and consumer prices Sinimaaria Ranki Monetary union and market integration : capital and goods market issues pertaining to the launching of the euro J. Jay Choi Jeffrey M. Wrase Volatility and misalignments of EMS and other currencies during 1974 1998 Michael G. Papaioannou The impact of the euro on primary equity markets E.K. Gatzonas. To form a more perfect economic union and to establish a single market financially economically and politically 11 European countries founded a common currency and a European Central Bank and created a new monetary unit the euro on 1st January 1999. On that date the old national currencies officially became subunits of the euro much as the nickel and quarter are subunits of the dollar. Fifteen countries started down the road to monetary union in 1992 when they signed the Treaty on European Union commonly known as the Maastricht Treaty which outlined a basic structure for the alliance. However of those 15 countries only 11 initially joined the European Monetary Union (EMU): three countries opted out and another did not meet the economic criteria established for membership in the union. The EMU countries decided that the benefits of having one common currency instead of 11 different ones would outweigh the costs especially given the amount of travel trade and financial flow that takes place between these countries. This volume considers effects on capital and goods markets of monetary union in general and European Monetary Union (EMU) in particular. The effects of monetary union addressed here broadly fall into three categories adjustments in goods and labor markets adjustments in money and capital markets and institutional adjustments when a group of countries adopt a common currency (and a common monetary policy) but retain quasi independent fiscal (and other economic) policies. The relation between monetary union and capital market integration is also highlighted To form a more perfect economic union and to establish a single market financially economically and politically 11 European countries founded a common currency and a European Central Bank and created a new monetary unit the euro on 1st January 1999. On that date the old national currencies officially became subunits of the euro much as the nickel and quarter are subunits of the dollar. Fifteen countries started down the road to monetary union in 1992 when they signed the Treaty on European Union commonly known as the Maastricht Treaty which outlined a basic structure for the alliance. However of those 15 countries only 11 initially joined the European Monetary Union (EMU): three countries opted out and another did not meet the economic criteria established for membership in the union. The EMU countries decided that the benefits of having one common currency instead of 11 different ones would outweigh the costs especially given the amount of travel trade and financial flow that takes place between these countries. This volume considers effects on capital and goods markets of monetary union in general and European Monetary Union (EMU) in particular. The effects of monetary union addressed here broadly fall into three categories adjustments in goods and labor markets adjustments in money and capital markets and institutional adjustments when a group of countries adopt a common currency (and a common monetary policy) but retain quasi independent fiscal (and other economic) policies. The relation between monetary union and capital market integration is also highlighted