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The European Monetary Union And The Euro
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At their last summit in Madrid, the leaders of the European Union confirmed their intention to press ahead with Monetary Union according to the timetable and conditions laid out in the Maastricht Treaty. While the summit also filled in some of the detail of the transition to a single currency, inc ....
Middle of essay ....d by the real characteristics of the economy. Thus the real exchange rate must ensure that the supply of goods and services (determined by the available technology, work force skills, etc.) must be equal to the demand for those goods and services (determined by private spending decisions and the government's fiscal policy). Similarly the unemployment rate has to balance the demand for labor by firms, which tends to rise as real labor costs fall, against the tendency for wage settlements to be hi.... |
Number of words: 2394 |
Approximate pages: 9 |
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