HODULÁK, Vladan. Czech Republic. In Z. Pogatsa, K. Sum, L. Lungu, V. Hodulak, G. Ganchev, V. Šonje. In or out? : The Politics of Euro Accession for Eastern European Member States. Sofia: Friedrich Ebert Foundation. p. 41-50. ISBN 978-954-2979-51-7. 2019.
Other formats:   BibTeX LaTeX RIS
Basic information
Original name Czech Republic
Authors HODULÁK, Vladan (203 Czech Republic, guarantor, belonging to the institution).
Edition Sofia, In or out? : The Politics of Euro Accession for Eastern European Member States, p. 41-50, 10 pp. 2019.
Publisher Friedrich Ebert Foundation
Other information
Original language English
Type of outcome Chapter(s) of a specialized book
Field of Study 50601 Political science
Country of publisher Bulgaria
Confidentiality degree is not subject to a state or trade secret
Publication form electronic version available online
WWW kniha - open access
RIV identification code RIV/00216224:14230/19:00112118
Organization unit Faculty of Social Studies
ISBN 978-954-2979-51-7
Keywords in English Eurozone; Euro; The Czech republic; Maastricht criteria
Tags rivok
Tags International impact, Reviewed
Changed by Changed by: Mgr. Blanka Farkašová, učo 97333. Changed: 8/1/2020 15:56.
Abstract
The chapter analyses the relationship between the Czech Republic and the Euro. The Czech Republic promised to join the Eurozone upon its entry to the EU in 2004. The Czech economy has already met the Maastricht criteria on several occasions. However, there is still no definite date set for Euro adoption. The majority of the Czech public oppose the common currency, and this is reflected in the attitudes of Czech politicians. The Czech development strategy has so far rested on two main pillars – an undervalued currency and disproportionately low labor costs. Adopting the Euro means that the exchange rate channel for convergence would be abandoned and convergence would have to be facilitated by other means. There are few effects related to entry to the Eurozone that can be determined with any level of accuracy, and these are not very significant. On the other hand, there are some quite uncertain but potentially very significant consequences. Among the expected effects are lower transaction costs, higher wages, higher outflow of labor and higher inflation, all of which could generate serious economic imbalances. However, not joining the Eurozone would mean free riding on the system, with potentially very detrimental effects on the national interest of the Czech Republic.
PrintDisplayed: 19/4/2024 09:44