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Romania and the Euro’s Adoption. Between Real and Nominal Convergence

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  • Gabriela Dragan

    ()
    (Bucharest Academy of Economic Studies, Romania)

  • Gabriela Pascariu

    ()
    (“Al.I.Cuza” University of Iasi, Romania)

Abstract

Romania is one of the least developed countries of the EU, with a level of GDP/capita three times lower than the EU average (1:2,9 GDP/head and 1:6,8 GDP/person employed), with a relatively low contribution of services to the PIB achievement, having an excessive labor force in agriculture, a reduced potential of the educational and research infrastructure and the lowest convergence level compared to the EU. According to the Convergence Programme, published at the beginning of 2007, Romania will not accede to the EMU-2 sooner than 2012, which means that 2014 becomes for Romania the most appropriate period for the adoption of euro (The Romanian Government, Convergence Programme, 2007). According to the Government, this period appears to be necessary for the continuation of the structural reform process, necessary for the economy to support euro.

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Bibliographic Info

Article provided by Department of International Business and Economics from the Academy of Economic Studies Bucharest in its journal Romanian Economic Journal.

Volume (Year): 11 (2008)
Issue (Month): 27 (January)
Pages: 27-48

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Handle: RePEc:rej:journl:v:11:y:2008:i:27:p:27-48

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Related research

Keywords: convergence; divergence; euro; economic and monetary union; structural reform;

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Cited by:
  1. Triandafil, Cristina Maria, 2011. "The Analysis Of The Convergence Criteria. Empirical Perspective In The Context Of The Sustainable Character Highlight," Working Papers of National Institute of Economic Research 111205, National Institute of Economic Research.
  2. Adela Socol, 2012. "Concerns Regarding To Successful Adoption Of The Euro In Romania," Revista Tinerilor Economisti (The Young Economists Journal), University of Craiova, Faculty of Economics and Business Administration, vol. 1(18), pages 166-173, April.

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