632598256894

There are a number of countries in the European Union that share open borders and free trade but
have not adopted the euro. As you know, Great Britain is one.
The countries in the European Union (EU) include the 15 eurozone countries and 12 other
countries. This is a list of countries in the European Union:
There are about 300 million people in the nations that have officially adopted the euro and 500
million in the European Union (EU). The EU is designed to allow the free flow of goods, labor,
services, and transit. In practice there are still some obstacles to the complete implementation of this
concept.
You might notice that Switzerland is not on either list. That country has chosen to maintain its
tradition of independence and neutrality.
Rodney: If there are such advantages, why don‟t all the countries in the EU adopt the euro?
Dad: Some countries have tried. They put the prospect to a vote and the people rejected the euro.
Perhaps it is national pride. Other countries have leaders who are concerned about the promises made
in the various countries‟ versions of Social Security. Unlike the United States, the population is
declining in several countries and, just as here, the system is underfunded. Also, governments have
different policies about taxing, spending, military expenditures, and international conflicts.
For now, take a look at the exchange rate between the dollar and the euro at the end of the
month specified (Exhibit 7.5).
This is quite a large range. In December 2001 $1,000 would buy €1,289. By June 2008, it
would take $2,036 to purchase the same amount of euros.
Let‟s do the math. Divide the euro amount by the exchange rate to get the dollar amount
(Exhibit 7.6).