The euro at five: ready for a global role?

Abstract:

The Institute for International Economics held a conference in February 2004 to examine the euro’s potential to fulfil its emerging global role. This book comprises the papers, comments, and panel discussions presented at that conference.

The book extends to eight chapters, the first of which offers an overview of the work by the editor. The euro’s progress to date is reported upon in chapter two. The emergence of the euro as a competitor to the dollar is discussed in chapter three, with further comment by other panel members giving a US perspective and a European view. The rising stature of the euro area and the need for improved policy coordination with the US is examined in chapter four; a view challenged by two further panel members. Chapter five groups contributions from both American and European economists which address the progress of the eurozone’s financial markets since 1999, and how much more needs to be done to make them globally competitive with those based in the United States and those based outside the zone such as London. Chapter six examines the stumbling blocks the euro has encountered in its march to international prominence, in particular the Stability and Growth Pact, but perhaps more the inability to employ the discipline in the face of under-performance by the major economies - France, Germany and Italy. Chapter seven offers a view of the euro as the second international currency, from an ECB perspective. Chapter eight presents an overall assessment of the euro which is seen mainly in the success of European financial markets.

The work will interest scholars and students engaged in European Studies and economics.

Adam S. Posen is a Senior Fellow of the Institute for International Economics.

Eurospan Group [Distributor] http://www.eurospan.co.uk

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