asked 67.9k views
2 votes
All of the following are expected benefits of the creation of the Euro, EXCEPT which?

1 Answer

1 vote

Final answer:

The creation of the Euro brings several benefits such as enhanced trade and economic integration, increased price stability, and promotion of tourism. However, the loss of domestic monetary policy is an exception to these expected benefits.

Step-by-step explanation:

Benefits of the Creation of the Euro

  • Enhanced trade and economic integration among eurozone countries
  • Increased price stability and reduced exchange rate risk for businesses and consumers
  • Promotion of tourism and cross-border investment

Exception to the Expected Benefits

An exception to the expected benefits of the creation of the Euro is the loss of domestic monetary policy for individual nations. With a merged currency, countries give up control over their own interest rates and monetary policies, which can sometimes lead to decisions that do not align with the specific needs of a particular country. This loss of autonomy is a drawback that some nations have to contend with.

answered
User Finnw
by
7.7k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.

Categories