Impact of the Euro Term Paper by bllchck

This paper examines the impact of the European Union's euro in the European markets and the international domain. The paper explains that the implementation of the new currency required careful and extensive preparation by the European Union, and the exchange rates at the beginning of implementing the euro were, on the whole, very challenging. The paper points out that one major impact and obvious benefit of the implementation of the euro is the removal of transaction costs of exchanging currencies between countries that use it and this means that businesses that trade within the Eurozone don't have differences in prices on their currency. In conclusion, the paper shows that since the euro's introduction in 1999 some notable effects have been the removal of transactions costs and exchange rates, arbitrage, European monetary policy and members' fiscal policies, and investment opportunities.