Should the UK ditch the pound and adopt the Euro ? Poll Discussion

zulubabe

otherparty wrote: »

No offence, but this statement makes no sense whatsoever!

The Euro is worth nothing! When the UK joins let's see what 1 Euro gets you in the supermarket. If you're lucky a loaf of Tesco Value Bread! I can assure you it will not go as far as 1 Pound currently gets you in the supermarket today. Shops marked up prices dramatically in Euroland!

Create_the_Future

That's why inward investment to the UK is higher than everywhere else in Europe and the difference is widening!

visaria

The euro at some point in the future will almost certainly breakdown. There are too many countries with different economies, different demographics, different stages in the economic cycle etc for the euro to survive more than say, another 20 years.

chibo82

There are too many countries in the EU to govern the interest, inflation etc.

chibo82

There are too many countries in the EU to govern the interest, inflation etc.


Best to keep the pound.

otherparty

zulubabe wrote: »

The Euro is worth nothing! When the UK joins let's see what 1 Euro gets you in the supermarket. If you're lucky a loaf of Tesco Value Bread! I can assure you it will not go as far as 1 Pound currently gets you in the supermarket today. Shops marked up prices dramatically in Euroland!

At current exchange rates, 1£ is approx equal to 1.5€. So, yes, a loaf of bread currently costing 1£ would cost 1.5€ (all else being equal). However, let's say your salary is 10K £ currently. In euro that would be about 15k €. So as you see, you would be no worse off. The fact that different currencies are not at parity (1:1) does not make one currency weaker than the other. This is basic economics.

To address the issue of price mark-ups following the introduction of the euro, whilst this did undoubtedly happen it was most evident in lower priced (southern European) countries. This was to be expected when one considers another law of economics: price differentials will reduce when there are arbitrage opportunities. Think of it this way; when countries have the same currency it is much easier to compare prices and there will be more pressure for price parity. In cases where bordering countries had big price differentials, once the euro was introduced, it was to be expected that the cheaper countries' prices would rise. Likewise, in higher-priced markets, prices would reduce slightly. Otherwise, wherever feasible, the same products would just be bought in the cheaper neighbouring country. As such, my guess is that were the UK to join the euro, prices would certainly not rise, and could possibly even fall - something i'm sure we'd all be happy about.

otherparty

Elliesmum wrote: »

I want to keep the pound, it represents our identity and it controls our economy. I do not wish to see any british financial controls going over to europe.

EM xx

How exactly does the pound control our economy?

Former_MSE_Wendy

Poll Started 26 June 2007.

As the debate over the reintroduction of a form of new constitution for Europe hots up; let's return to the old chestnut of the Euro. It's been in place for five years years now, and many people have held the notes in their hands while travelling through Europe.

So should the UK ditch the pound and adopt the Euro?

A. Yes
27% (3038 votes)
B. No
67% (7505 votes)
C. Don't care
2% (265 votes)
D. Undecided
4% (481 votes)


Total Votes: 11272

Bargainetta

andrewbolt wrote: »

I'm always amused by this 'we wouldn't have control of our interest rates' argument, as if 'we' meet the Prime Minister in the pub every weekend to tell him what we want done about interest rates.

'We' have a single explicit control - our election vote. I don't know if anyone ever votes purely because they believe that their best interest will be served by one party's ability to set the interest rates appropriately.

There seems to be an assumption that non-elected bureaucrats have no idea about how interest rates work, compared to people elected on their ability to smile charmingly.

Before the 1997 election it WAS the people with the ability to smile charmingly who set the interest rates. That is why the Financial Press started to back Labour in their election bid. They must have got wind of the fact that they intended to revert back to the BoE having the responsibility of setting the interest rates and, of course, historically that has served us very well.

I am, however, fairly undecided about the Euro. If we went in to it something drastic would need to be done about the housing market - something like charging VAT on the council tax that second homes attract! It doesn't seem right these properties standing empty for most of the year when people need housing.

Gingertom_2

Fed up with having to change money every time we go shopping in Calais. ie once a month.
Also....Its about time we were on the same clock time as Europe...backwards and forwards with the time every crossing of the channel.
Get modern
OR
Leave Europe altogether
:T