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Will the Eurozone Dissolve into its Constituents?

In: The Euro and International Financial Stability

Author

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  • Efthymios G. Tsionas

    (Athens University of Economics and Business)

Abstract

The short answer is not necessarily. First of all, the markets dictate competition of currencies in order to result into endogenously formed currency unions. When money was introduced, it had to compete with all sorts of alternative exchange media like furs, corn or clay vases and jewels. It prevailed not because someone ordered it. In fact, someone ordered gold and silver coins with his face upon it (kings, emperors etc.) precisely because that sort of money was already in use, in one form or another, in the vast majority of exchanges.

Suggested Citation

  • Efthymios G. Tsionas, 2014. "Will the Eurozone Dissolve into its Constituents?," Financial and Monetary Policy Studies, in: The Euro and International Financial Stability, edition 127, chapter 0, pages 29-35, Springer.
    • Handle: RePEc:spr:fimchp:978-3-319-01171-4_7
    DOI: 10.1007/978-3-319-01171-4_7
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