Bulgaria Ski discussion board
Join the EURO?
Author:
posts : 13 (Beginner)Date : 12-18-08 16:07Join the EURO?
As a matter of Interest, how many of the British Visitors would be in favor of joining the euro considering the Pound is now the football of the rest of the western world?Are the majority dead against it? or is it something that in the long run will benefit the UK and its population?
re: Join the EURO?
It would be an error to join at the wrong part of the economic cycle and one bank setting a standard monetary policy for economies in various conditions doesn't make a tremendous amount of logical sense. For the UK, a lower exchange rate in the medium term isn't a bad thing for most people - imports will become more expensive but for many things we will be able to substitute with national products over time, foreign holidays will get more expensive but it will be cheaper for foreigners to ...
It would be an error to join at the wrong part of the economic cycle and one bank setting a standard monetary policy for economies in various conditions doesn't make a tremendous amount of logical sense. For the UK, a lower exchange rate in the medium term isn't a bad thing for most people - imports will become more expensive but for many things we will be able to substitute with national products over time, foreign holidays will get more expensive but it will be cheaper for foreigners to come to the UK. Anyway, with the economic stimulus being financed by borrowing, plus the formal addition of the Northern Rock to national debt, we probably wouldn't make the borrowing targets to get in. In the long term I'd like to see the Euro introduced, if for nothing more than lower transaction costs and being part of a reserve currency
