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Journal of Economic Perspectives: Vol. 6 No. 4 (Fall 1992)

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Economic and Monetary Union in Europe

Article Citation

Bean, Charles R. 1992. "Economic and Monetary Union in Europe." Journal of Economic Perspectives, 6(4): 31-52.

DOI: 10.1257/jep.6.4.31

Abstract

The European Council's Maastricht Agreement maps out a precise route to monetary union and the eventual introduction of a common currency. My discussion begins with a look at the general arguments for and against monetary union. I shall then discuss the proposed constitution of the European Central Bank and whether it is likely to be conducive to monetary stability, together with some of the problems posed by the transition to the new regime. Finally, I will turn to the issue of rules for the conduct of fiscal policy and the question of "fiscal federalism."

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Authors

Bean, Charles R. (London School of Econ)

JEL Classifications

F36: Financial Aspects of Economic Integration
F02: International Economic Order

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