The Euro
To most people in the United States hearing the word Euro brings about blank stares. Ask this same question in England or another European country and it means bringing Europe together under one common currency. The Euro can be defined as the common monetary system by which the participating members of the European Community will trade. Eleven countries Germany, France, Spain, Portugal, Ireland, Austria, the Netherlands, Belgium, Luxembourg, Finland and Italy will comprise the European Economic Monetary Union that will set a side their national currency and adopt the Euro in 2002. A new National bank, based in Frankfurt Germany, will be constructed and the interest rates that control the economies of these nations will be in the hands of this new system. It is indeed a great experiment, being masterminded in Frankfurt, one that will be felt through out Europe as well as the rest of the world.1The combined countries, now more commonly referred to as Euroland, will fall under one national bank. This bank, the European Central Bank, will determine the economic fate of the entire "Union". The merging of eleven currencies is a daunting and somewhat lethal task. The ECB is comprised o
The Euro financial markets will not only be larger than the current national European markets but also more diversified.3 Compared with the United States and Japan, the weight of equity and debt securities markets is lower and the relative importance of banking is far greater.3 With the implementation of the Euro a new equalization will be created within the global economy. In order for the Euro to become an international currency it will have to become strong and stable. Only these attributes will allow the trust of the global market to vest in the Euro. The stability and strength will have to come from the erouzone and its market, proving the stability of this newfound union. This treaty O'Connell refers to is the Maastrich Treaty. It is the foundation for holding together the ECB and the fait of the Euro. It was constructed in such a way that is completely out of reach of the politicians. This way, national views of one country will not effect the entire economic view of the European Economic Monetary Union. One view is certain now, the Euro will happen and the ECB will be driving the train.
Some common words found in the essay are:
Central Bank, Monetary Union, United Japan, Euro Companies, Officially ECB, Gerard Gent, Union EMU, Stability Growth, EMU People, Traveling Europe, european economic, monetary union, international currency, central bank, economic monetary union, european economic monetary, exchange fees, economic monetary, national currency, bank european central, frankfurt germany, euro international currency, euro happen, euro currency, european central bank,
Approximate Word count = 2249
Approximate Pages = 9 (250 words per page double spaced)
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