The euro crisis, and the policies so far adopted to overcome it, have affected countries differently across the euro area (EA), in particular households and firms. Explicit and implicit promises have been broken for many jobs and pensions which can often create frustration, resentment, and indeed euro-skepticism. The full recovery from the crisis and future growth of the EA and European Union (EU) will require not only macroeconomic stability, but also welfare improvements for everyone, in order to heal the existing divide between winners and losers.
The aim of this workshop is to present and discuss current research using dynamic macroeconomic models with heterogeneous agents. This can help to understand the differential impact of financial and economic crises on households and firms. It can also help to understand how existing policies (monetary, fiscal, labour, etc.) have been implemented to confront and overcome them.