Practical insights from OCA variable combinations

Ozer I., Ozkan I.

Economic Annals, vol.53, no.176, pp.38-60, 2008 (Scopus) identifier

  • Publication Type: Article / Article
  • Volume: 53 Issue: 176
  • Publication Date: 2008
  • Doi Number: 10.2298/eka0876038o
  • Journal Name: Economic Annals
  • Journal Indexes: Scopus
  • Page Numbers: pp.38-60
  • Keywords: EMU, Fuzzy C-means clustering, Hodrick-Prescott filtering technique, Optimum currency areas
  • Hacettepe University Affiliated: Yes


This study aims to identify optimum currency areas (OCA) variables that distinguish certain Economic and Monetary Union (EMU) member countries from the other EMU members. In the previous studies, EMU members were identified in the light of criteria suggested by the OCA theory. In this study, in order to obtain additional insights, we analysed OCA variables and the performance of European countries with respect to these variables. Our analysis shows that some of the EMU member countries are dissimilar to the rest of the EMU members with respect to certain OCA criteria.