Waiver Replace EU Currency Field For Free

The Danish decision to opt out was subsequently formalized in an amended protocol as part of the Lisbon Treaty. In 2000, the Danish electorate voted against joining the euro in a referendum by a margin of 53.2% to 46.8% on a turnout of 87.6%.

Answer and Explanation: The decision to do away with a substitute currency to use the domestic currency could be fueled by the need to regain control over the country's economic policies.

What drives exchange rates? Exchange rates are constantly moving, based on supply and demand. Whether one currency is in higher demand than another, depends on the perceived value of owning it, either to pay for goods and services, or as an investment.

The euro has eliminated the costs of exchange rate fluctuations within the euro area. This protects consumers and businesses within the euro area from costly swings in currency markets, which, in some countries, used to undermine confidence, discourage investment and cause economic instability.

EMU involves coordinating economic and fiscal policies, a common monetary policy, and a common currency, the euro. A single currency offers many advantages: it makes it easier for companies to conduct cross-border trade, the economy becomes more stable, and consumers have more choice and opportunities.

These countries are Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden.

All EU Member States, except Denmark, are required to adopt the euro and join the euro area. To do this they must meet certain conditions known as 'convergence criteria'.