GERMEN UNIFICATION: IMPLICATIONS FOR EUROPEAN UNION
The German experience ofunifying two dis-similar economies may provide invaluable insights to Europe as it struggles with monetary union. The purpose of this paper is to examine the impact of German unification on interest rates, inflation and the value ofthe DM in an effort to assess implicationsfo...
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| Format: | Article |
| Language: | English |
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People & Global Business Association (P&GBA)
1996-03-01
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| Series: | Global Business and Finance Review |
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| Online Access: | http://www.gbfrjournal.org/pds/journal/thesis/20150626013458-5XAYR.pdf |
| Summary: | The German experience ofunifying two dis-similar economies may provide invaluable insights to Europe as it struggles with monetary union. The purpose of this paper is to examine the impact of German unification on interest rates, inflation and the value ofthe DM in an effort to assess implicationsfor European economic union. The results ofthis study suggest that Germany achieved unification with relatively minor interruptions to its international parity relationships andfinancial stability. In orderfor the European community to experience a like transition, members would most likely need to provide for a cooperative, consistent monetaty policy. |
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| ISSN: | 1088-6931 2384-1648 |