... For the former, CC goes up in Austria, Spain, Finland, Ireland, Italy and Portugal, and down in Belgium, Germany and the Netherlands. For the latter, it goes up in Spain, Ireland, Italy, down in ... baselinemodel can be explained by the change in the underlying trend in the market rate that coincided with the beginning of EMU. We then test whether the EMU break is due to the change in the volatility ... maturity with the underlying retail bankinstrument.3 In the short run, changes in retail bank rates depend on changes in the MMR and in the BR and on the deviation from the long-run equilibrium relationship...