Which of the following is an advantage of a common currency in Europe?
A)each country could conduct its own,independent monetary policy.
B)exchange rate uncertainty within the common currency area would be eliminated.
C)each country could conduct its own,independent fiscal policy.
D)all of the above
E)none of the above

Question

Quizplus · Accepted Answer

With a common currency, exchange rate uncertainty within the region would be eliminated. This makes it easier for businesses to conduct cross-border transactions, reduces transaction costs, and promotes trade and investment within the region. However, countries would need to coordinate their monetary policies to ensure stability within the currency area. Independent monetary or fiscal policies could potentially cause imbalances and create issues within the currency area.

Which of the Following Is an Advantage of a Common