tailieunhanh - No.272 / December 2008: EMU and Financial Integration

It is clear that levels of financial literacy vary within countries and it is therefore useful to know more about how they vary across particular socio-economic groups. The findings of analysis by socio-demographics show that women have much lower levels of financial knowledge than men in almost all of the countries studied (Hungary being the exception). So for example, whilst 67% of men in the UK gained a score of 6 or more on the knowledge measure, just 40% of women achieved the same; in Germany the corresponding percentages are 67% and 50%. Women are also less likely. | Institute for International Integration Studies IIIS Discussion Paper December 2008 EMU and Financial Integration Philip R. Lane IIIS Trinity College Dublin and CEPR IIIS Discussion Paper No. 272 EMU and Financial Integration Philip R. Lane Disclaimer Any opinions expressed here are those of the author s and not those of the IIIS. All works posted here are owned and copyrighted by the author s . Papers may only be downloaded for personal use only. EMU and Financial Integration Philip R. Lane _ IIIS Trinity College Dublin and CEPR 1st December 2008 Abstract We assess the impact of the euro on financial integration. We document how the single currency has re-shaped financial markets and international investment patterns. We address the macroeconomic implications of enhanced financial integration with a particular focus on the shift in net capital flows and the extent of international risk sharing. Finally we outline the challenges posed by increased financial integration for the ECB and other European policymakers. Prepared for the 5th ECB Central Banking Conference on The Euro at Ten Lessons and Challenges November 13-14 2008. I thank the discussants Marco Pagano and Axel Weber for their comments. I am also indebted to Patrick Honohan and Richard Portes for helpful conversations and to ECB and BIS staff for help with data. I thank Agustin Benetrix Barbara Pels and Martin Schmitz for helpful research assistance. Email .