Macroeconomic Models Used by European Central Bank

Abstract

The paper is structured in three parts: the first presents the institution of European Monetary Union, the European Central Bank, the bank of the single currency, the euro. The second part shows how the purposes of ECB’s policies are modeled using some macroeconomic models with different approches of geografical criteria, trade interest, rational expectations and others. The third part presents the benefits of euro introduction, proved by some statistical aspects of the evolution of macroeconomic indicators of European Union.