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ISBN: 1843760576Издательство: Edward Elgar Publishing
The integration process of ?The Common Market of the South? (MERCOSUR) has been characterized by serious economic turbulence, including the devaluation of the Brazilian currency and the severe Argentinean monetary crisis. As a response to thesedifficulties, the adoption of monetary union has emerged as one possible solution to the financial uncertainty which has plagued this region. Whereas some believe MERCOSUR should become a free trade area, others are convinced that nothing less than full monetary union can bring stability to the region and ease the financial fragility of the member countries. This book discusses the future of MERCOSUR, focusing on monetary union and macroeconomic policy coordination, and addresses a number of important questions including: ? is it possible, or even desirable, to achieve monetary integration? ? what would the pre-conditions be for establishing such a union? ? what would the convergence criteria be for...