Nova SU Advantages and Disadvantages of the European Union Evaluation Discussion

Question Description

I’m working on a business discussion question and need an explanation to help me learn.

The Euro is an interesting case study in monetary union, but fiscal disunion. Is the Euro condemned to collapse, or is it capable of long-term success?

Boglea, V. A., & Iacob, M. I. (2011). Advantages and disadvantages of a single currency- Euro. Agricultural Management/Lucrari, Stiintifice Seria I, Management Agricol, 13(3), 117-122.
Frisch, H. (2003). The euro and its consequences: What makes a currency strong? Atlantic Economic Journal, 31(1), 15.
Skouras, T. (2013). The euro crisis and its lessons from a Greek perspective. Society and Economy, 35(1), 51-69. doi:http://dx.doi.org/10.1556/SocEc.35.2013.1.3
Trichet, Jean-Claude. (2019). The Euro after 20 Years is a Historic Success. Review of World Economics. 155:5-14.

One of the great economic experiments of the last few decades has been the creation of a common monetary union for the EuroZone. After two debilitating world wars in the 20th century, there was a great desire to tie the economic life of Europe into a common currency in order to promote economic growth and achieve peace and stability. Many were skeptical of the ability of the Euro to last, but so far, the experiment has been a successful one in monetary union. However, fiscal policy continues to be the purview of each European nation, and there is still concern that imrpudent fiscal policy can undermine prudent monetary policy. This is a discussion of monetary policy and fiscal policy in the EuroZone.

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