History of the Euro Essay -- Europe Eurpean Currency Money Essays

History of the Euro After the long awaited single currency implementation known as the euro, there have been many ups and downs to this monetary system. Many have been quick to criticize while others still praise its value claiming it will soon be valued strongly against the dollar. Our paper looks into the various aspects of the euro and the progress it has made since its initiation. We begin with a brief history of the euro then move on by raising some questions concerning the effects of the euro on various economic aspects such as competition and global financial institutions. We then provide insight to the various strengths and weaknesses of the euro and the implications this currency has on various institutions such as banks. We conclude the paper by presenting a number of challenges the euro may face in the near future, as well as its current conditions. Introduction Recently in Europe and its neighboring countries, the talk has been about the newly installed euro into the ever- growing European market. The euro has been the new currency for the twelve countries belonging to Euroland since January 1, 2002. The countries that have adopted the euro are the following: Austria, Belgium, Finland, France, Germany, Greece, the Republic of Ireland, Italy, Luxembourg, Netherlands, Portugal and Spain. The big motivation behind the euro is to enable a market that more and more looks like one European market. The goal is for the European capital market to be as efficient as possible, as this is a prerequisite for sustainable economic development. To better understand how the euro came about, one must go back to 1979. This is when the idea of the euro was in its very first phase. History of the Euro On March ... .../html/rubrique-cadre5html?pag=rubrique- europa5.html/lang=5/chap18/rubrique=261 â€Å"The European Union in Your Hand† 7) Eltis, Walter. Euro Debate Panel. www.kingston.ac.uk/~en_5007/euro/eurosum.htm 8) www.fortune.com 9) Gazi, Ercel: Governor of Central Bank of Turkey. Dunya Gazetesi, Euro Meeting, Istanbul, Nov 27, 1998 10) George, Edward: â€Å"Progress of the Euro.† www.bis.org/review/r001024.a.pdf 11) Hersch, Warren. Computer Reseller News. â€Å"Euro Progress Crawls Along.† Manhasset; Feb 21, 2000 12) www.howstuffworks.com/euro7.htm 13) â€Å"International Effects of the Euro.† www.brook.edu/dybdocroot/com/Policybriefs/Pb042/pb42.htm 14) White, William: â€Å"The Euro and Financial Markets: Challenges for Bankers and Policymakers.† www.bis.org/speeches/sp991113.htm 15) http://cobweb.creighton.edu/cps/ â€Å"Euro†