EMU entry is an irreversible step. Once a currency enters, its identity is extinguished. The continued existence of legacy banknotes is an illusion. Think: Second Law of Thermodynamics. Redenomination into the legacy currency or a new one destroys the central bank and probably the financial system.
There are other reasons: they are explored in full in a paper submitted to the House of Commons Treasury Select Committee for its discussions on EMU . This contains much of the content of the paper referred to by Julian Wiseman from his paper How Germany Might Leave. However, the CSFB version referred to is a much later draft of the ideas and clients are recommended to that version. Contact Sandra Laushway-Smith on 020 7888 8888, giving reference to the author, or the author direct.
Table of links:
|July 2000||List of Appendices to Eighth Special Report of TSC, on EMU|
|July 2000||Eighth Special Report of TSC, on EMU|
|October 2000||'How Germany Might Leave' by Julian Wiseman|
|Main index||William Porter|