• A United Europe—Why Would It Matter?
    Awake!—2000 | April 22

    • CHAMPAGNE corks popped. Fireworks lit up the skies. What was the occasion? A new millennium? No, this event was arguably more significant than a mere change of digits on the world’s calendars. It was January 1, 1999. The new single currency for the European Union (EU)—a type of money called the euro—was officially launched on that day.

      Many Europeans see the introduction of a common currency as a historic step in Europe’s long quest for unity. The Dutch newspaper De Telegraaf hailed the launch of the euro as the “crown upon European unification.” Indeed, after decades of dreams, diplomacy, and delays, European unity seems closer than ever.

      Granted, people living outside of Europe may wonder what all the hubbub is about. The arrival of the euro and the efforts toward European unification may seem to have little effect on their daily life. However, the unification of Europe would bring about one of the world’s largest economic blocs. So a united Europe would be hard to ignore—no matter where one lives.

      For example, U.S. Assistant Secretary of State Marc Grossman recently told a North American audience: “Our prosperity is linked to Europe.” Why? Among the reasons he noted was that “one out of every 12 U.S. factory workers has a job in one of the 4,000 European-owned businesses in the U.S.” It is reported, too, that Europe’s new currency may affect the price of imported goods—and even mortgage rates—in countries far from Europe.

      Developing countries may benefit. How? One study notes: “The replacement of the various European currencies by the euro will simplify the developing countries’ commercial relations with the EU.” Additionally, some predict that Japanese and U.S. firms doing business in Europe will benefit. With the euro in place, there will be no fluctuating exchange rates between European countries. Doing business in Europe could well become more economical.

      If you are planning to travel in Europe, you may likewise feel the benefits of European unity. Soon you will be able to purchase goods and services in different European countries with one currency, the euro, which has about the same value as the U.S. dollar. Gone will be the days of puzzled tourists juggling guldens, francs, lire, deutsche marks, and pocket calculators.