European Monetary Union — the Theory

  • Edward Nevin


In any Keynesian-type view of the economic system the budget, in a national economy, has a major macroeconomic role as well as having microeconomic functions in allocating resources between sectors or between groups of people. By this is meant that the level and net balance of budgetary receipts and expenditures can exert a significant pressure on the level of output, employment and prices in the economy as a whole, as distinct from the relative levels in particular sectors of it. The Treaty of Rome envisaged no such macroeconomic role for the Community budget; its very small size in relation to the national incomes of the member states has in any case ruled out such a possibility.


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Further Reading

  1. Coffey, P., Europe and Money (London: Macmillan, 1977).CrossRefGoogle Scholar
  2. Denton, G., Economic and Monetary Union in Europe (London: Croom Helm, 1975).Google Scholar
  3. Robson, P., The Economics of International Integration, 2nd. edn. (London: Allen & Unwin, 1984).Google Scholar
  4. Sumner, M. T. and Zis, G., European Monetary Union (London: Macmillan, 1982).Google Scholar
  5. Tsoukalis, L., The Politics and Economics of European Monetary Integration (London: Allen & Unwin, 1977).Google Scholar

Copyright information

© Edward Nevin 1990

Authors and Affiliations

  • Edward Nevin
    • 1
  1. 1.University College of SwanseaUK

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