Why Join the Euro?Why Join the Euro?

Why fix something that isn’t Why fix something that isn’t broken?broken?

Euro Adoption Will Result Euro Adoption Will Result In:In:

• Loss of SovereigntyLoss of Sovereignty

• Loss of CultureLoss of Culture

• Costs of ConvergenceCosts of Convergence

Problems With Joining the Problems With Joining the EMUEMU

• Lose right to print, distribute, and Lose right to print, distribute, and manage own currencymanage own currency

• Lose control over interest ratesLose control over interest rates• Lose currency fluctuationLose currency fluctuation• Must raise taxesMust raise taxes• Already experienced failure under Already experienced failure under

Exchange Rate MechanismExchange Rate Mechanism

Funny MoneyFunny Money

• Increased chance of forgeryIncreased chance of forgery

• Different printing & mintingDifferent printing & minting

• Alternate coinsAlternate coins