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EXPLORING 21st CENTURY SKILLS AND ISSUES
Name: _____________________________________________________________________________
Side Trip to the Eurozone In 1992 many European countries signed the Maastricht Treaty , which created an economic and political union of 28 member states called the European Union (EU). Thereafter, in 1999, 18 members of the EU joined together to form the Eurozone to operate under a single currency called the euro . The Eurozone plays a large role in 21st century commerce. To call yourself financially literate, you should know about it! 1. List the member states of the EU (abbreviations are OK.) _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ 2. What is the Eurozone ? _ ______________________________________________________________________________ _ ______________________________________________________________________________ 3. What is the euro ? _ ______________________________________________________________________________ 4. What is the symbol for the euro? _______ 5. Look at the countries you listed in your answer to Q.1. Circle the 18 countries which are also members of the Eurozone. 6. If you are exchanging 1 USD for 1 EUR, how much will you get based on the current FX? _______ 7. What institution administers the euro and sets monetary policy for all of the Eurozone countries? Where is it headquartered? _ ______________________________________________________________________________ 8. List at least 3 political or economic advantages to Eurozone countries as a result of using a single currency: _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ _ ______________________________________________________________________________ Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France , Germany, Greece , Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal , Romania, Slovakia, Slovenia, Spain , Sweden , United Kingdom ( England, Scotland, Wales and Northern Ireland ) A single currency eliminates fluctuating exchange rates. Cross-border trade is easier and the economy is more stable; Consumers have more choice and can more easily travel and shop in other countries. A single currency eliminates conversion fees. The Eurozone refers to the 18 members of the EU that have formed a single economic unit and use the euro as their currency. The euro is the legal tender of the Eurozone countries. The European Central Bank (“ECB”); Frankfurt Germany. € PRODUCT PREVIEW
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Lesson 5 | Crazy for Currency
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