Lessons to be Learnt from the ERM and their Applicability to the Accession Economies Seeking to Join ERM2
AbstractSooner or later all the accession economies will have to join the ERM2 - a mandatory framework for all those countries that face the challenge of joining the EU. Entering the eurozone will be an unprecedented achievement. The achievement will be all the more remarkable given the unique environment in which those economies previously operated, so very different to the conditions prevailing among the current EMU members. That notwithstanding, a case can be made for trying to find certain similarities between the ERM and ERM2. As for the ERM, the degree of heterogeneity among its members was sufficient to be able to distinguish between different groups of countries. Of those groups, one bore certain similarities to the accession economies; it mainly comprised the so-called Mediterranean countries (Spain, Italy, Portugal and Greece), all of which faced some of the problems that should sound familiar to at least some of the accession economies. The Mediterranean countries' bid to join the eurozone and the current efforts on the part of the accession economies are but a decade apart. In the history of the international monetary system, however, a decade is a very long time. Drawing similarities calls for a high degree of prudence. Yet seen from the standpoint of pre-emptive devaluation, it makes sense to take a closer look at the lessons to be learnt from the experience of the Mediterranean countries.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoPaper provided by The Vienna Institute for International Economic Studies, wiiw in its series wiiw Research Reports with number 302.
Length: 36 pages including 6 Tables and 7 Figures
Date of creation: Jan 2004
Date of revision:
Publication status: Published as wiiw Research Report
Find related papers by JEL classification:
- F31 - International Economics - - International Finance - - - Foreign Exchange
- E5 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit
- F15 - International Economics - - Trade - - - Economic Integration
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Customer service).
If references are entirely missing, you can add them using this form.