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Prospects of Adopting the Euro in the Czech Republic

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  • Petr Gocev

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    (University of Economics, Prague/CESES Faculty of Social Sciences, Charles University)

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    Abstract

    The article explores prospects of adopting the euro in the Czech Republic. Interests and arguments of important stakeholders are discussed, concluding that reasons for diverging attitudes result from conflicting particular economic interests and political preferences on the future course of European integration. Special attention is given to inflationary and distributional consequences of adopting the euro while the Czech Koruna is still appreciating. The article explains why the Czech Republic ceased aiming at the Euro area accession and concludes that the process of the euro adoption may be eventually launched only if political power shifts to eurooptimistic political parties.

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    File URL: http://www.vsfs.cz/periodika/acta-2011-02.pdf
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    Bibliographic Info

    Article provided by University of Finance and Administration in its journal ACTA VSFS.

    Volume (Year): 5 (2011)
    Issue (Month): 2 ()
    Pages: 177-185

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    Handle: RePEc:prf:journl:v:5:y:2011:i:2:p:177-185

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    Related research

    Keywords: European Monetary Union; euro; inflation; monetary policy; exchange rate;

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    1. Bart Hobijn & David Lagakos, 2005. "Inflation Inequality In The United States," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(4), pages 581-606, December.
    2. Sergio De Nardis & Claudio Vicarelli, 2003. "The Impact of the Euro on Trade: The (Early) Effect is Not So Large," Economics Working Papers 017, European Network of Economic Policy Research Institutes.
    3. Giovanni Mastrobuoni, 2004. "The Effects of the Euro-Conversion on Prices and Price Perceptions," Working Papers 101, Princeton University, Department of Economics, Center for Economic Policy Studies..
    4. Brada, Josef C & Mendez, Jose, 1988. "Exchange Rate Risk, Exchange Rate Regime and the Volume of International Trade," Kyklos, Wiley Blackwell, vol. 41(2), pages 263-80.
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