The convergence process over the last decade indicates that policy preferences have converged in favour of long term price stability. Inflation rates and interest rates have reached historical lows and the exchange rates have been stable for a sufficiently long period. Markets trust that the Euro will be a good and stable currency. In conclusion, all countries must have an interest in making EMU a large currency area, as net benefits will rise with size. Price stability is ensured in EMU Policy preferences have changed over the last 20 years.
Price stability is today an objective of common concern.
The countries have learned to live in an environment of low inflation. The Treaty on European Union clearly establishes a preference for price stability over other objectives. The Maastricht Treaty provides institutional backing together with constraints on budget policies. Over the past 20 years there has been an emerging consensus among central bankers. Throughout the world, central bankers agree today on price stability as the primary goal of monetary policy.