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Economic Union

In: The Road to European Monetary Union

Author

Listed:
  • André Szász

    (Dutch Central Bank)

Abstract

While Monetary Union implies a common monetary policy pursued by a European Central Bank, Economic Union as contained in the Maastricht Treaty implies neither a common policy nor a common authority. It merely obliges member states to coordinate their economic policies, as did the Rome Treaty in its original form, and in addition to avoid what are termed excessive budget deficits. This difference between Monetary Union and Economic Union reflects the limits of member states’ readiness to give up national sovereignty.

Suggested Citation

  • André Szász, 1999. "Economic Union," Palgrave Macmillan Books, in: The Road to European Monetary Union, chapter 17, pages 154-164, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-59947-5_17
    DOI: 10.1057/9780230599475_17
    as

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