3 ms·

Controlling currency is one of the most important aspects of being a sovereign country. Poland should adopt euro not sooner than Denmark and Sweden.

Thlom 1y ago
Denmark have pegged the krone to the euro. They haven't adopted it, but tied themselves to the Euro. They still maintain control of their currency, but most of that control is used to maintain the value to the euro.
- Svip 1y ago
  That's because the powers that be want the euro, but the people didn't. They were asked in 1992, 1993 and 2000; and effectively they said no to the euro every time (yes, I know; in 1993, the euro was specifically opted out, but the fact that it was approved when the year before a referendum with the euro was rejected suggests – at least partially – that it was a rejection of the euro (among other things)). Denmark thus came into the EU with 4 opt-outs (one of which has since been rescinded (defence) and one which turned out not to matter (union citizenship)), and they can only be removed with referendum (see for instance the euro one in 2000). Prior to the adoption of the euro, the Danish crown was pegged to the D-mark (since about the mid-1980s), because Germany was the biggest export market for Denmark (still is), and thus having a currency that's stable towards what the Germans are using has been good for Danish exports (less sure how relevant that still is). (Sidebar; had the original motivation of Alternative für Deutschland been successful and abandoned the Euro for a return to the D-mark (neumark?), it would have put Denmark in an awkward position.)
  - consp 1y ago
    This all reads as symbolic nationalist policies with an added burocracy thus costing more than it should. "We need own coin to control [insert nationalist thing here]" but in practice you won't and never did. The last time I was in Denmark my bank nicely charged me for the conversion despite the coin being fixed to the euro. It is just a money costing machine which adds no value.
    - ifwinterco 1y ago
      If (when?) there's another Euro crisis, being pegged gives you a lot more room to manoeuvre than being actually in the Euro. If necessary de-pegging would be disruptive but very much possible, if you're fully in the Euro then you are riding the train to its destination whether you like it or not
      - p2detar 1y ago
        De-pegging would require selling your euro reserves and buy other currencies. I wouldn’t call it disruptive but a disaster. You’ll end up getting enormous loans that generations after you will have to pay.
    - wolvesechoes 1y ago
      If being nationalistic means preferring that currency in your country is controlled by the government you have elected and not by ECB that you have zero control over, then yes. Ask Greeks how much they enjoyed ECB involvement.
      - decimalenough 1y ago
        The Danish krone is pegged to the euro, meaning it's already effectively controlled by the ECB.
        wolvesechoes 1y ago
        It is not fully pegged, and though it ties their hands somewhat, this is not "effectively" the same as adopting the euro. Krone still can be un-pegged if Denmark decides to do so.
        zosima 1y ago
        It can be unpegged at a moments notice. Euro countries have a lot more work to break free.
      - rhubinak 1y ago
        By adopting euro you get a seat at the ECB and can influence monetary policy of the whole Eurozone.
remon 1y ago
That currency has a fixed exchange rate to the euro. Any perceived sovereignty benefits are fictitious.
- wolvesechoes 1y ago
  The biggest sovereignty benefit is that it can stop following fixed exchange rate if necessary, what is much easier than moving away from euro.
  - remon 1y ago
    In what way? Both need a constitutional change for every country this distinction is relevant for.
Paradigma11 1y ago
Having a stable and robust currency that enables economic activity is the most important thing. Adopting the Euro is certainly a way to achieve this.

Thlom 1y ago

Denmark have pegged the krone to the euro. They haven't adopted it, but tied themselves to the Euro. They still maintain control of their currency, but most of that control is used to maintain the value to the euro.

Svip 1y ago
That's because the powers that be want the euro, but the people didn't. They were asked in 1992, 1993 and 2000; and effectively they said no to the euro every time (yes, I know; in 1993, the euro was specifically opted out, but the fact that it was approved when the year before a referendum with the euro was rejected suggests – at least partially – that it was a rejection of the euro (among other things)). Denmark thus came into the EU with 4 opt-outs (one of which has since been rescinded (defence) and one which turned out not to matter (union citizenship)), and they can only be removed with referendum (see for instance the euro one in 2000). Prior to the adoption of the euro, the Danish crown was pegged to the D-mark (since about the mid-1980s), because Germany was the biggest export market for Denmark (still is), and thus having a currency that's stable towards what the Germans are using has been good for Danish exports (less sure how relevant that still is). (Sidebar; had the original motivation of Alternative für Deutschland been successful and abandoned the Euro for a return to the D-mark (neumark?), it would have put Denmark in an awkward position.)
- consp 1y ago
  This all reads as symbolic nationalist policies with an added burocracy thus costing more than it should. "We need own coin to control [insert nationalist thing here]" but in practice you won't and never did. The last time I was in Denmark my bank nicely charged me for the conversion despite the coin being fixed to the euro. It is just a money costing machine which adds no value.
  - ifwinterco 1y ago
    If (when?) there's another Euro crisis, being pegged gives you a lot more room to manoeuvre than being actually in the Euro. If necessary de-pegging would be disruptive but very much possible, if you're fully in the Euro then you are riding the train to its destination whether you like it or not
    - p2detar 1y ago
      De-pegging would require selling your euro reserves and buy other currencies. I wouldn’t call it disruptive but a disaster. You’ll end up getting enormous loans that generations after you will have to pay.
  - wolvesechoes 1y ago
    If being nationalistic means preferring that currency in your country is controlled by the government you have elected and not by ECB that you have zero control over, then yes. Ask Greeks how much they enjoyed ECB involvement.
    - decimalenough 1y ago
      The Danish krone is pegged to the euro, meaning it's already effectively controlled by the ECB.
      - wolvesechoes 1y ago
        It is not fully pegged, and though it ties their hands somewhat, this is not "effectively" the same as adopting the euro. Krone still can be un-pegged if Denmark decides to do so.
      - zosima 1y ago
        It can be unpegged at a moments notice. Euro countries have a lot more work to break free.
    - rhubinak 1y ago
      By adopting euro you get a seat at the ECB and can influence monetary policy of the whole Eurozone.

remon 1y ago

That currency has a fixed exchange rate to the euro. Any perceived sovereignty benefits are fictitious.

wolvesechoes 1y ago
The biggest sovereignty benefit is that it can stop following fixed exchange rate if necessary, what is much easier than moving away from euro.
- remon 1y ago
  In what way? Both need a constitutional change for every country this distinction is relevant for.

Paradigma11 1y ago

Having a stable and robust currency that enables economic activity is the most important thing. Adopting the Euro is certainly a way to achieve this.