Potential exit from the eurozone : the case of Spain Articles uri icon

publication date

  • December 2015

start page

  • 335

end page

  • 377

issue

  • 2

volume

  • 22

International Standard Serial Number (ISSN)

  • 1080-0727

Electronic International Standard Serial Number (EISSN)

  • 1543-0367

abstract

  • According to a recent opinion poll that covered seven members of the
    Eurozone, Spain would be the Member State of this group that is most in
    favor of leaving the euro. In this public opinion context, and above all since
    the summer of 2012, debate has been growing in this country about the
    prospects of its exiting the European Monetary Union. In this article I
    argue that there are good reasons for taking this debate seriously. Using
    Spain as a case study, I analyze what the determinants of this decision
    could be. In particular, I analyze the economic determinants that could
    condition a decision in this direction. I conclude that in the current
    ViWXaWion, a EXUo]one membeU·V deciVion to leave the common currency
    would be conditioned, in economic terms, above all by time and fairness.
    Therefore, a key element that a member of the Eurozone would have to take
    into account when considering whether to leave the euro would be twofold:
    1) the extent to which this decision would prompt a faster adjustment; and
    2) the extent that exiting would cause a fairer distribution of the costs of the
    adjustment.

subjects

  • Law