First, it has been argued that monetary union may contribute to a larger specialisation in production in the euro area. In this case, the need for relative price adjustments and inflation differentials to deal with sectoral developments may increase. I will briefly discuss the current evidence on sectoral specialisation.
2014 Oct. 2014 Interest Rate Dec. 2012 Jan. 2016 110  Introduction of QQE with Yield Curve Control Sep. 2016  s.a., CY 2012 = 100  %  5.0  108  4.5 106 104  4.0  102 3.5 100 98  3.0  96 2.5 94 92  2.0  └  2012  └  13  └  14  └  15  └  16  └  17  └  18  └ 19  Number of employees Consumption activity index (travel balance adjusted, real) Real wages Real employee income Consumption rate (real consumption divided by real employee income) Unemployment rate (right scale) Note: Real employee income is calculated as the number of employees multiplied by real wages, which is total cash earnings deflated by the CPI (all items less imputed rent).