I am articulating this idea not necessarily in search of a theory but in search of traction with domain experts and more particularly, with practitioner central bankers who face these dilemmas in their day-to-day lives. 8. At another level, a formidable challenge that EMEs will continue to face is the management of global spillovers.
There is also some evidence that those euro area countries that had better functioning institutions recovered faster from the latest financial crisis.6 The indicator also reveals large differences in the ease of doing business across euro area Member States. Whereas the best performers are close to the global top performers,7 the weakest Member States are hardly in the global top 50.