In Europe, the euro assumes a similar role for trade within the region. Chart 15 Currency invoicing patterns (percentages)  Sources: Gopinath, G. (2016), “The International Price System.” Jackson Hole Symposium Proceedings, Eurostat and ECB staff calculations.Note: The data generally cover the time period from 1995 to 2012. AE = advanced economies; EME = emerging market economies.
There is some support for the model predictions of the importance of US dollar invoicing for monetary policy spillovers. The degree of exchange rate pass-through to import prices from bilateral changes in the US dollar is high, while movements of effective exchange rates excluding the US dollar are muted (Chart 16).