This book examines the monetary integration of the group of countries which constitute the Economic and Monetary Union (EMU), signalling the emergence of a truly European economy. The authors devote their considerable expertise to the analysis of macroeconomic policies within EMU and the economic analysis underlying the conduct of these policies.The authors first analyse the development of the euro area from a historical perspective. They then examine the criteria for the first eleven countries to qualify for EMU and speculate whether the same countries would have joined if the qualification date had been a year later. The authors go on to examine purely macroeconomic aspects of the euro area including:the degree of real convergence in the euro areathe short-run and long-run determinants of the euro area's current accountthe euro area's financial markets and implications for the international role of the eurothe organizational structure and internal procedures of the European System of Central Banksthe Eurosystem's single monetary policy strategyfiscal policy and the Stability and Growth Pactexchange rate policy issues.This book will become required reading for scholars and policymakers in the area's of European studies, macroeconomic policy and financial economics.
