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A Long Term Perspective on the Euro

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  • Michael Bordo
  • Harold James

Abstract

This essay will evaluate the experience of the first decade of EMU and the euro in historical perspective. It will ground the establishment of EMU and the euro in the context of the history of international monetary cooperation and of monetary unions. A discussion of the origins, key operating characteristics and problems encountered by earlier monetary arrangements will serve as a backdrop for an evaluation of the euro's performance and challenges in future decades. The essay will develop and expand upon the following three themes: 1. Lessons from the evolution of past monetary unions for EMU; 2. Fiscal policy arrangements for EMU in historical perspective; 3. Challenges facing EMU. The first two take an historical perspective. The third looks to the future.

Suggested Citation

  • Michael Bordo & Harold James, 2008. "A Long Term Perspective on the Euro," European Economy - Economic Papers 2008 - 2015 307, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
  • Handle: RePEc:euf:ecopap:0307
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    Cited by:

    1. Armin Steinbach, 2015. "The Mutualization of Sovereign Debt: Comparing the American Past and the European Present," Journal of Common Market Studies, Wiley Blackwell, vol. 53(5), pages 1110-1125, September.
    2. repec:spo:wpecon:info:hdl:2441/f6h8764enu2lskk9p50c4i5qm is not listed on IDEAS
    3. Maxime Parodi, 2013. "De la monnaie cosmopolitique," Sciences Po publications 2013-09, Sciences Po.
    4. Etienne Farvaque & Norimichi Matsueda, 2009. "Monetary Unions and External Shocks," Economics Bulletin, AccessEcon, vol. 29(2), pages 1483-1491.
    5. Rockoff, Hugh & White, Eugene N., 2012. "Monetary Regimes and Policy on a Global Scale: The Oeuvre of Michael D. Bordo," MPRA Paper 49672, University Library of Munich, Germany, revised May 2013.
    6. A. Malliaris & Mary Malliaris, 2013. "Are oil, gold and the euro inter-related? Time series and neural network analysis," Review of Quantitative Finance and Accounting, Springer, vol. 40(1), pages 1-14, January.
    7. Maxime Parodi, 2013. "De la monnaie cosmopolitique," Working Papers hal-01070448, HAL.
    8. Maxime Parodi, 2013. "De la monnaie cosmopolitique," Sciences Po publications info:hdl:2441/6o65lgig8d0, Sciences Po.
    9. Alistair K. L. Milne, 2011. "Limited Liability Government Debt for the Eurozone -super-†," CESifo Economic Studies, CESifo, vol. 57(1), pages 44-78, March.
    10. Mihai Rebiga, 2010. "Is Romania Ready for Adopting Euro?," Studies and Scientific Researches. Economics Edition, "Vasile Alecsandri" University of Bacau, Faculty of Economic Sciences, issue 15.
    11. Maxime Parodi, 2013. "De la monnaie cosmopolitique," Documents de Travail de l'OFCE 2013-09, Observatoire Francais des Conjonctures Economiques (OFCE).
    12. Andrzej Wojtyna, 2008. "Polityka pieniężna w strefie euro: dawne obawy, nowe wyzwania," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 11-12, pages 1-20.

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    More about this item

    Keywords

    Economic and Monetary Union; euro; economic history; international monetary system; history of monetary unions; EMU; Bordo; James;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • N14 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Europe: 1913-

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