Continental Drift: Is the Euro’s Fixed Exchange Rate Regime Undermining Cohesion Policy?

Christopher James Day

European Review, 2022, vol. 30, issue 2, 219-243

Abstract: The ravages of two world wars and a desire to develop a politically and economically united Europe led to the establishment of the Eurozone in January 1999. The European Monetary Union was a grand experiment that brought 11 European nations under a single currency, the euro. Complexities associated with the implementation of effective fiscal, budgetary and banking coordination left the bloc vulnerable to asymmetries in the productivity and factor markets of its members. This article analyses how adoption of the euro, which prevented nominal exchange rate adjustments, impacted on the competitiveness and real economies of member states, thereby undermining the European Union’s key priority of creating balanced economic growth and productivity.

Date: 2022
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cup:eurrev:v:30:y:2022:i:2:p:219-243_4

Access Statistics for this article

More articles in European Review from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().