Open Economies Review

, Volume 22, Issue 4, pp 565–592 | Cite as

Business Cycles, Core, and Periphery in Monetary Unions: Comparing Europe and North America

  • Alexandra Ferreira-LopesEmail author
  • Álvaro M. Pina
Research Article


Using different levels of regional aggregation, we compare Europe with the USA and Canada as regards business cycle synchronization and core-periphery patterns. A long annual sample (1950–2005) makes it possible to study how these aspects have evolved over time. Results support the economic viability of EMU. Average cyclical correlations among European countries have risen significantly, reaching levels close to those of North American regions. Applying fuzzy clustering to the analysis of core-periphery issues, we find European countries to actually outperform USA Census Regions: the core-periphery divide is milder, and peripheral status seems generally less protracted.


European union Canada United States Monetary unions Business cycles Fuzzy clustering 

JEL Classification

C65 E32 E42 F33 


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Copyright information

© Springer Science+Business Media, LLC 2009

Authors and Affiliations

  1. 1.Economics Department, Economics Research Center—UNIDE, and DINÂMIAISCTE—Lisbon University InstituteLisboaPortugal
  2. 2.ISEG (School of Economics and Management)Technical University of Lisbon, and UECE (Research Unit on Complexity and Economics)LisboaPortugal

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