5 ms·

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

by 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 Denmark thus came into the EU with 4 opt-outs (one of which has since been rescinded (defence) and one which turned out not to matter (union citizenship)), and they can only be removed with referendum (see for instance the euro one in 2000).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.
    - wolvesechoes 1y ago
      The same way as having the seat in the UN's Security Council gives you the influence, but in the end France has little to say when compared with US or China. Germany even without any representation in ECB will have much more to say than other countries. Because in the end it is a real political power that allows anyone to make decisions.
      - rhubinak 1y ago
        The point is that all of the countries in the EU are well developed countries with similar growth and closely tied economies. I can't imagine a monetary policy that would benefit one state while at the same time damaging the other one so much it would negate all the benefits of joining Eurozone.
- giingyui 1y ago
  [dead]
- Svip 1y ago
  As noted, the politicians wanted to switch to the euro; but it's the voters who said no. Twice or thrice, depending on how you count. That isn't a case of "symbolic nationalistic policies", but rather a state apparatus trying to get around the rejection, whilst sticking to the text of the referenda (but perhaps not the spirit of it).

by Svip 1y ago

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.
  - wolvesechoes 1y ago
    The same way as having the seat in the UN's Security Council gives you the influence, but in the end France has little to say when compared with US or China. Germany even without any representation in ECB will have much more to say than other countries. Because in the end it is a real political power that allows anyone to make decisions.
    - rhubinak 1y ago
      The point is that all of the countries in the EU are well developed countries with similar growth and closely tied economies. I can't imagine a monetary policy that would benefit one state while at the same time damaging the other one so much it would negate all the benefits of joining Eurozone.
giingyui 1y ago
[dead]
Svip 1y ago
As noted, the politicians wanted to switch to the euro; but it's the voters who said no. Twice or thrice, depending on how you count. That isn't a case of "symbolic nationalistic policies", but rather a state apparatus trying to get around the rejection, whilst sticking to the text of the referenda (but perhaps not the spirit of it).