Monday, March 8, 2010

Why England will not join Euro Zone.

England with eighty million population and as large an ego finds it unbecoming of the nation to join Euro Zone of single European currency.
Lack of the European monetary authorities willingness to help Greece with its financial crisis makes it abundantly clear that EU has not thought through the financial crisis management.Its slow action has left Greek economy in shambles.As part of the Euro Zone it does not have tools like devaluation of the currency available to other independent monetary systems.

Euro has brought some discipline to the monetary policies.If larger Euro countries coordinated and decided to help struggling countries it would bring more confidence in Euro.

If they fail it will be a long time before many other nation will try to join this unified currency experiment.

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