Fiscal Policy under EMU

An Overview
  • Bas van Aarle


The introduction of the common currency, the Euro, managed by a common central bank, the European Central Bank (ECB), is the most obvious sign of the Economic and Monetary Union (EMU) that has started on January 1, 1999. The road to EMU was set out in the 1989 Report of the Delors Committee and the 1991 Maastricht Treaty on EMU. The monetary part of EMU forms the replacing of national currencies by a common currency and implies the last step in completing the process of monetary and financial integration in the European Union (EU). In EMU, national monetary policy is replaced by common monetary policy managed by a common monetary institution, the ECB.


European Union Fiscal Policy Government Spending European Central Bank Common Currency 
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Copyright information

© Springer Science+Business Media New York 2001

Authors and Affiliations

  • Bas van Aarle
    • 1
    • 2
  1. 1.Catholic University LeuvenBelgium
  2. 2.University of Nijmegenthe Netherlands

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