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This book provides a comprehensive account and analysis of the plan for European monetary union contained in the Maastricht Treaty. The provisions of the treaty itself are examined, showing how they evolved, what must be done to implement them, and some of the problems they will pose. Kenen goes far beyond the treaty, however, to survey and adapt recent research by economists on the benefits and costs of monetary unions, the conduct of monetary policy, and the consequences of large public deficits and debts. The European exchange-rate crises of 1992 and 1993 are analyzed, as well as their impact on the prospects for monetary union and the problems they pose for implementation of the Maastricht Treaty. The author makes specific proposals to handle the transition to a single currency, integrate the existing central banks into a single system, and modify parts of the treaty itself. The implications of European monetary union for the international monetary system in the mid-to-late 1990s are also considered.

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Book Details

ISBN: 9780521558839
ISBN-10: 0521558832
Format: Paperback
(228mm x 152mm x 13mm)
Pages: 230
Imprint: Cambridge University Press
Publisher: Cambridge University Press
Publish Date: 29-Sep-1995
Country of Publication: United Kingdom

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