List 2 criteria that make an economic region optimal to form a monetary union.
List 2 criteria that make an economic region optimal to form a monetary union.
Homework Answers
1 There should be very less barriers to the movement of labour across the region so that in case of crisis one region doesn't feel to have its own monetary policy
2 The region should have similar business cycles because only then it will be easily for monetary authority to implement common policy for region. Otherwise different policies will be required for different areas of same region
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List 2 criteria that make an economic region optimal to form a
monetary union.
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Need answer
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