PRESENTATION REPORT

GROUP MEMBERS

METHODOLOGY: European Studies-Politic & Economics

Create a detailed outline that indicates what will be covered to answer each question and what
team members will be responsible for presenting that information. \

INTRODUCTION

Every national currency around the earth is subject to identical market laws and its value changes
according to the same constituents that determine all other currencies. Within the Eurozone, all
countries share the same currency - the euro, and are less touched on by alterations in the euro
exchange rate.

The European single currency of the founding was only with the advent of the Maastricht Treaty
that was required for the Member States to start legally in 1993. Nevertheless, it was only with
the advent of the Maastricht Treaty in 1993 that member states legally required to start the
monetary union by January 1 1999. (Todayszaman, 2014) On this date the euro was suitably
launched by eleven of the then 15 member states of the EU. It remained an accounting currency
until 1 January 2002, when euro notes and coins were issued and national currencies began to
phase out in the Euro zone, which by then consisted of 12 member countries. The Euro zone has
since grown to 18 countries, the most recent being Latvia which joined on 1 January 2014.
(Wikipedia, 2014.)

PRESENTATION OUTLINE

INTRODUCTION: - The benefits of a single currency policy

PROGRESS OF EUROPEAN INTEGRATION:-

I. In 1999, the euro area was established as a currency in eleven of the then fifteen EU
Member States.
II. Of the 28 EU Member States today, seventeen has adopted the euro. Latvia most recently
joined in 2014.
III. In response to the economic and financial crisis, the EU created a new set of rules on
enhanced EU economic governance which entered into force in December 2011.
A SINGLE CURRENCY POLICY FOR EUROPEANS:-

I. The 12 countries that introduced the Euro in 2001

(Italy, Ireland, Luxembourg, Netherlands, Portugal, Spain, Austria, Belgium, Finland, France,
Germany, Greece)

SOME OF THE EUROS BENEFITS:-

I. The high degree of price stability:

II. More price transparency
III. Removal of transaction costs
IV. European Central Bank keeps price inflation low so interest rates also remain low
V. Travelling is made easier

DISADVANTAGES

I. Introduction of a single monetary policy among 12 individual national policies of each

country.
II. Monetary decisions with economic and national policies unique to the circumstances of
the country.
III. Implementation of one Monetary policy as a detriment to their existing financial statuses

SUMMERY

Hence, all current members of the Euro zone take advantage of the single currency, but they
share the same disadvantages as well. When the releases, data showing increasing unemployment
rate, the falling number of new mortgages and growing number of businesses going bankrupt the
most immediate consequence will be a falling exchange rate of the euro.