The researcher of this essay will make an earnest attempt to critically evaluate and present the reasons for the introduction of a European Union policy area, together with the successes and failures of its operations to date, making reference…
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This paper illustrates that the European “dollar hegemony, thawed out frozen masses of immobilized capital, increased the volume and value of international trade, and opened and expanded markets on a vast scale. It created pressures that, if not irresistible, at least required better and more tenacious defenses, opened horizons beyond anything previously imaginable, yet also posed new regulatory challenges”. There are many advantages and disadvantages in implementing a change of work, place, policy, statute, condition or environment. There are successes, failures, and depression brought about by the fluctuations in a currency's market price. The following paragraphs explain the nuances of the single currency European Union economy and other related topics which are pegged on the European Union Dollar. European Union single currency policy is beneficial to its member countries. The potential benefits, as well as expenditures of the single European Monetary Unit, had been discussed at length in the European Commissions study entitled One Market, One Money. This report gave four major benefits that the single currency would bring to European Union member countries. The first benefit is the reduction in transaction costs. The second benefit is the reduction in risk. The third benefit would be the increase in competition. The last benefit would be the emergence of an international currency to compete on equal footing with the United States dollar. The first benefit is the reduction in transaction costs. The reduction of the transaction costs is connected with the decrease in the need to exchange the currency when one European Union Country like the United Kingdom would have to endure when buying a car from Germany, another European Union member state. Some of the members of the European Union include Sweden, Finland, Latvia, Lithuania, Denmark, United Kingdom, Ireland, Germany, Belgium, Luxemburg, France, Portugal, Spain, Italy, Austria, Hungary, Romania, Bulgaria, Poland and Slovenia.
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(European Union Single Currency Policy Essay Example | Topics and Well Written Essays - 3000 Words)
“European Union Single Currency Policy Essay Example | Topics and Well Written Essays - 3000 Words”, n.d. https://studentshare.org/politics/1546496-critically-examine-the-reasons-for-the-introduction-of-an-eu-policy-area-together-with-the-successes-and-failures-of-its-operations-to-date-making-reference.
European Union countries abound in the strong agricultural prospects. There has been a great variety of agricultural products produced in EU countries. The main agricultural products produced in EU region include cereals, rice, sugar, oil seeds, potatoes and wine.
A preferential trade arrangement gives lower tariffs or barriers to trade among member nations compared with the nations uninvolved in a preferential trade arrangement (Salvatore, 327). This was the situation in 1932 under the British Commonwealth Preference Scheme of the United Kingdom with “members and formers member of the British Empire” (Salvatore, 327).
The establishment of successful unions of states requires the adoption of policies that can secure these unions’ integration. Monetary union is one of these policies, as the example of USA reveals. However, before such plan is launched it is necessary to check whether the achievement of such integration is feasible.
The rationale behind the formation of this association was creation of a strong single European market that would be beneficial for the wholesome economic development of all the member countries, to promote social unity among the people and most importantly, to enhance the prominence of Europe in the global economy (University of Iowa College of Law Center for International Finance and Development, 2013).
This paper will throw light upon the benefits and the problems of the European single currency, which is Euro. In addition to this the paper will also focus upon the affect on other currencies by the present rise in the value of the Euro.
The introduction of Euro in the year 1999 signaled the economic integration of the European countries.
EU came into force on 1st November 1993. The EU headquarter is in Brussels, Belgium. The European Union is an official department where all the countries agree on a single trade policy and it is like an agreement where the trade barriers between the members of the European Union are removed.
The ratification of the Maastricht treaty in November of 1993 was responsible for the creation of the European Monetary Union or EMU and adopted the Euro as their common currency (European commission, n.d.).
Roughly around 320 million European citizens use the currency and find it really amazing and beneficial in more ways than one. Euro is used in almost all the European Countries but there are still exceptions like Denmark and United Kingdom who still use their own currencies, the British pound is used in United Kingdom and the DKK better known as the Danish Krone is used in Denmark.
In addition, it had been obvious that economic objectives come first prior to welfare issues, although much effort has been undertaken by the European Commission to encompass competence.
Wilensky et al (1987) defined family policy as an umbrella of different policies and programmes that aim to provide for a variety of individuals from the young, old and even transition singles such as those divorced, separated or widowed, as well as women separated from financial sources but family policy has also been argued as a disguise for a series of population programmes, labour market and health policies (Kamerman and Kahn, 1978).
For the first time there has come a competitor of US dollar - the euro, capable to challenge its status of dominating currency of the world. Before introduction of euro there was only one European currency, the DM, played an appreciable role in the currency markets of the world, however outside of the Europe it had no prospect to strengthen and expand its position.
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