{"id":84109,"date":"2024-01-22T08:53:23","date_gmt":"2024-01-22T07:53:23","guid":{"rendered":"https:\/\/www.wifo.ac.at\/publication\/84109\/"},"modified":"2026-02-17T15:58:35","modified_gmt":"2026-02-17T14:58:35","slug":"exchange-rate-regime-and-economic-activity-in-the-eu","status":"publish","type":"publication","link":"https:\/\/www.wifo.ac.at\/en\/publication\/84109\/","title":{"rendered":"Exchange Rate Regime and Economic Activity in the EU"},"content":{"rendered":"","protected":false},"featured_media":0,"template":"","class_list":["post-84109","publication","type-publication","status-publish","hentry"],"acf":{"subtitle":"","text":"Since the collapse of the Exchange Rate Mechanism of the European Monetary System in 1992-1993 the monetary setting for trade and investment has changed fundamentally. After six years of stable exchange rates the EU split into a hard-currency block under the \"leadership\" of the German Bundesbank and the soft-currency countries. Over the period from 1992 to 1995 the real effective exchange rate in Germany, France, the Netherlands, Belgium, Denmark, and Austria rose by an average of 3 percent annually, while the exchange rate in the remaining EU countries fell by 6 percent annually in real terms. At the same time economies whose currencies had lost in value managed to expand real exports 9 percent per year, whereas in hard-currency countries real exports attained a growth rate of only 3 percent. As unit labor costs in the soft-currency countries have not risen faster than in the hard-currency block, the exchange rate fluctuations recorded since 1992 should continue to influence Europe's real economic development in the near future.","onlinedate":"1996-05-01 02:00:00","lang":"English","publication_series":"","publication_date":"19960501","publication_date_year":"","publication_date_full":false,"publication_num_pages":"","keywords":"[\"Exchange Rate Regime and Economic Activity in the EU\"]","jelcodes":"[]","related_publications":"[]","pdf":null,"zip":null,"link":"https:\/\/www.wifo.ac.at\/wwa\/pubid\/312","monthly_report":true,"monthly_report_main":false,"monthly_report_volume":"1","monthly_report_pages":"85-95","monthly_report_pages_sort":"85","issue":"2","journal":"Austrian Economic Quarterly","publisher":"","invisible":false,"external":false,"embargo_date":null,"types":[183747],"research_groups":[3491],"collaboration":"","persons":[3841],"persons_data":"[{\"personId\":3841,\"personName\":\"Stephan Schulmeister\",\"organisationNames\":[]}]","clients":[],"subclients":[],"partners":[],"topics":[],"host_publication_title":"","host_publication_subtitle":"","place_of_publication":"","host_publication_editors":"[]","type_description":"","output_media":"","chapter":"","article_number":"","citations":"{\"apa\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_apa rendering_contributiontoperiodical rendering_apa rendering_contributiontoperiodical_apa\\\"><span>Schulmeister, S.<\\\/span> (1996). <span>Exchange Rate Regime and Economic Activity in the EU<\\\/span>. <span><em>Austrian Economic Quarterly<\\\/em><\\\/span>, <em>1<\\\/em>(2), 85-95. <a onclick=\\\"window.open(this.href, '_blank','noopener,noreferrer'); return false;\\\" href=\\\"https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/312\\\" class=\\\"link\\\"><span>https:\\\/\\\/www.wifo.ac.at\\\/wwa\\\/pubid\\\/312<\\\/span><\\\/a><\\\/div>\",\"vancouver\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_vancouver rendering_contributiontoperiodical rendering_vancouver rendering_contributiontoperiodical_vancouver\\\"><span>Schulmeister S<\\\/span>. <span class=\\\"title\\\"><span>Exchange Rate Regime and Economic Activity in the EU<\\\/span><\\\/span>. <span>Austrian Economic Quarterly<\\\/span>. 1996 May;1(2):85-95.<\\\/div>\",\"bibtex\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_bibtex rendering_contributiontoperiodical rendering_bibtex rendering_contributiontoperiodical_bibtex\\\"><div>@misc{4e10bc36827d450791796271b66cb19b,<\\\/div><div>  title    = \\\"Exchange Rate Regime and Economic Activity in the EU\\\",<\\\/div><div>  abstract = \\\"Since the collapse of the Exchange Rate Mechanism of the European Monetary System in 1992-1993 the monetary setting for trade and investment has changed fundamentally. After six years of stable exchange rates the EU split into a hard-currency block under the {\\\"}leadership{\\\"} of the German Bundesbank and the soft-currency countries. Over the period from 1992 to 1995 the real effective exchange rate in Germany, France, the Netherlands, Belgium, Denmark, and Austria rose by an average of 3 percent annually, while the exchange rate in the remaining EU countries fell by 6 percent annually in real terms. At the same time economies whose currencies had lost in value managed to expand real exports 9 percent per year, whereas in hard-currency countries real exports attained a growth rate of only 3 percent. As unit labor costs in the soft-currency countries have not risen faster than in the hard-currency block, the exchange rate fluctuations recorded since 1992 should continue to influence Europe's real economic development in the near future.\\\",<\\\/div><div>  keywords = \\\"Exchange Rate Regime and Economic Activity in the EU, Exchange Rate Regime and Economic Activity in the EU\\\",<\\\/div><div>  author   = \\\"Stephan Schulmeister\\\",<\\\/div><div>  year     = \\\"1996\\\",<\\\/div><div>  month    = may,<\\\/div><div>  language = \\\"English\\\",<\\\/div><div>  volume   = \\\"1\\\",<\\\/div><div>  pages    = \\\"85--95\\\",<\\\/div><div>  journal  = \\\"Austrian Economic Quarterly\\\",<\\\/div><p>}<\\\/p><\\\/div>\",\"ris\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_ris rendering_contributiontoperiodical rendering_ris rendering_contributiontoperiodical_ris\\\"><p>TY  - GEN<\\\/p><p>T1  - Exchange Rate Regime and Economic Activity in the EU<\\\/p><p>AU  - Schulmeister, Stephan<\\\/p><p>PY  - 1996\\\/5<\\\/p><p>Y1  - 1996\\\/5<\\\/p><p>N2  - Since the collapse of the Exchange Rate Mechanism of the European Monetary System in 1992-1993 the monetary setting for trade and investment has changed fundamentally. After six years of stable exchange rates the EU split into a hard-currency block under the \\\"leadership\\\" of the German Bundesbank and the soft-currency countries. Over the period from 1992 to 1995 the real effective exchange rate in Germany, France, the Netherlands, Belgium, Denmark, and Austria rose by an average of 3 percent annually, while the exchange rate in the remaining EU countries fell by 6 percent annually in real terms. At the same time economies whose currencies had lost in value managed to expand real exports 9 percent per year, whereas in hard-currency countries real exports attained a growth rate of only 3 percent. As unit labor costs in the soft-currency countries have not risen faster than in the hard-currency block, the exchange rate fluctuations recorded since 1992 should continue to influence Europe's real economic development in the near future.<\\\/p><p>AB  - Since the collapse of the Exchange Rate Mechanism of the European Monetary System in 1992-1993 the monetary setting for trade and investment has changed fundamentally. After six years of stable exchange rates the EU split into a hard-currency block under the \\\"leadership\\\" of the German Bundesbank and the soft-currency countries. Over the period from 1992 to 1995 the real effective exchange rate in Germany, France, the Netherlands, Belgium, Denmark, and Austria rose by an average of 3 percent annually, while the exchange rate in the remaining EU countries fell by 6 percent annually in real terms. At the same time economies whose currencies had lost in value managed to expand real exports 9 percent per year, whereas in hard-currency countries real exports attained a growth rate of only 3 percent. As unit labor costs in the soft-currency countries have not risen faster than in the hard-currency block, the exchange rate fluctuations recorded since 1992 should continue to influence Europe's real economic development in the near future.<\\\/p><p>KW  - Exchange Rate Regime and Economic Activity in the EU<\\\/p><p>KW  - Exchange Rate Regime and Economic Activity in the EU<\\\/p><p>M3  - WIFO series<\\\/p><p>VL  - 1<\\\/p><p>SP  - 85<\\\/p><p>EP  - 95<\\\/p><p>JO  - Austrian Economic Quarterly<\\\/p><p>JF  - Austrian Economic Quarterly<\\\/p><p>ER  - <\\\/p><\\\/div>\"}","scientific_assistance":"[]","scientific_review":"[]","version":"","release_date":null,"expiration_date":null,"surveyor":"","research_assistance":"","edv":"","additional_info_de":"","additional_info_en":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Exchange Rate Regime and Economic Activity in the EU - 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