Monetary and Currency Unions

ISBN-13: 9783847373544 / Angielski / Miękka / 2014 / 300 str.

Mugera Harriet

Opis

The Optimal Currency Area (OCA) criteria has been considered to be rigid paving way for more accommodative criteria in determining whether it is opportune for countries to form or join monetary and currency unions. This book critically analyses the OCA, the convergence and shock analysis techniques to evaluate the attractiveness of monetary and currency unions. It then applies them to an already established monetary union, European Monetary Union (EMU) and the East African Community (EAC) that is in the process of institution. Can the EAC learn some lessons from EMU? Achieving a minimum degree of macroeconomic convergence between countries is a necessary condition for the establishment of monetary and currency unions. There could be higher ex-post benefits to a currency and monetary union, even though the conditions for an ex-ante common currency area have not fully been satisfied and seem to be costly. Adequate time is also needed in order to iron-out both political and economic divergences that exist among countries and create a more stable and constructive regional organisation.

O autorze

Harriet Mugera is pursuing her PhD in Economics and Management - University of Trento. She holds a MSc. in Finance and BSc. in Commerce-University of Trento. She worked as an Economist at the Food and Agricultural Organization-U.N. Her research interests are in international, agricultural and monetary economics, finance and development economics.