As the world economy becomes more globalized, it is expected that economic integration will continue. There are 6 stages of economic integration, as follows:
Therefore, the European Union has come a long way, reaching stage 5 in 1999. It is the major monetary union of the approximately 20 monetary unions in the world today, and it is referred to as the European Economic Monetary Union, or EMU. The euro has become as important as the U.S. dollar and is being discussed as the next international currency, either replacing the U.S. dollar or sharing the position with the U.S. dollar as well as perhaps an Asian currency, such as the Japanese yen or Chinese yuan. For example, several countries are buying and selling oil in euros rather than U.S. dollars, which makes sense, given the majority of the oil transactions involve countries that use the euro. Other areas of the world are considering monetary unions, such as Southeast Asia and North America. Many countries’ central banks hold U.S. dollars for transactions involving oil and other international transactions, which also helps support the value of the U.S. dollar.
Your firm is expanding into Europe, and your department head has asked you to put together a report on monetary unions in general, include the following:
Body of paper must be 4 to 6 pages long with a minimum of 4 references
Use the library and Internet to research support for your report. Use APA style for in-text citations and a list of references.
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