Kdy zavést euro: co nejdříve nebo co nejpozději?
When to introduce the euro: as soon as possible or as late as possible?

Author(s): Petr Pavlík
Subject(s): National Economy, Economic history, Economic policy, Government/Political systems, Transformation Period (1990 - 2010), EU-Accession / EU-DEvelopment
Published by: Ústav mezinárodních vztahů
Keywords: Czech Republic; European Union accession; Euro currency; Czech National Bank; the Ministry of Finance;
Summary/Abstract: The paper discusses the optimal timing for the Czech Republic to adopt the euro as its currency, after joining the European Union in 2004. It argues that the country should not rush to join the eurozone, but also should not delay it unnecessarily. It identifies the main obstacle as the high public budget deficits, which require a radical reform of public finances, especially the pension and health care systems. It also stresses the importance of maintaining macroeconomic stability, real convergence, and economic growth in the process of nominal convergence. It concludes that the plan of the Czech National Bank and the Ministry of Finance to introduce the euro in 2009-2010 is reasonable and realistic.

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