Loss of independent fiscal policy in EU leads to currency strength.
The article explores why rules for managing money in a group of countries, like the Stability and Growth Pact in the European Union, are important. These rules help deal with problems that affect all countries sharing the same money. They also help solve issues that come up when deciding how to spend money in a group. Even though these rules limit how each country can spend money on its own, they help keep the money stable and strong. Most experts agree that these rules are good for stabilizing the economy and keeping the money strong, but they are still debating how well the rules work when countries face different problems.