No abstract

No abstract

"Using a simple model of gross migration [in West Germany], the paper shows that provided economic agents are sufficiently risk averse, migrational flows are likely to be procyclical. The econometric results confirm that flows are highly procyclical. They further indicate that changes in regional economic disparities significantly affect migrational flows. However, given the widening of regional disparities in the 1980s accompanied by a worsening in aggregate conditions, migration seems least effective in offsetting the differentiated impact of labor market shocks when it would be most useful. The paper concludes by applying the results to the issue of east-west migration and salary convergence." (SUMMARY IN GER)

No abstract

This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate. Most financial institutions in the European Union (EU) are still based in one country, but a number of large financial institutions (LCFI) have systemic cross-border exposures. The paper explains how, despite much progress, nationally-segmented supervisory frameworks and national accountability for financial stability hinder optimization across borders of banks' operations and efficient and effective LCFI supervision. A full-fledged EU-level prudential regime that operates alongside national regimes-a European Banking Charter (EBC)-could harness market forces to establish a level playing field for financial sector competition, while plugging some significant gaps in Europe's financial stability framework without concentrating excessive powers.