Which of the following is seen as a disadvantage of the euro?
A)Higher foreign exchange and hedging costs.
B)National authorities losing control over monetary policy.
C)It becomes difficult to compare prices across Europe.
D)Undermines the development of a pan-European capital market.

Question

Quizplus · Accepted Answer

With the adoption of the euro, national authorities lose control over monetary policy, which can be seen as a disadvantage because they can no longer adjust interest rates and money supply to their country's specific needs.

Which of the Following Is Seen as a Disadvantage of the Euro