National Bureau of Economic Research
NBER: The Euro and the Stability Pact

Subject: The Euro and the Stability Pact
From: Martin Feldstein (msfeldst@nber.org)
Date: Sat Jan 22 2005 - 16:33:50 EST


I have attached a very short paper "The Euro and the Stability Pact" that
argues that something like the stability pact is needed because the
Eurozone's combination of centralized monetary policy and decentralized
fiscal policy creates a bias toward large chronic fiscal deficits.

Marty