conditions for monetary unions

• What should be the movement of labour in the Eurozone?

  Labour should be able to move freely without major barriers.
• What are the main languages of the Eurozone?

  The main languages are English, French, and German.
• Why is language a limiting factor in the Eurozone?

  Language can create barriers to the free movement of labour.
• What should be similar among the trade cycles of Eurozone member countries?

  The trade cycles should be similar to avoid tensions within the union.
• What was the impact of the 2008 Financial Crisis on Southern European countries?

  Southern European countries experienced a depression compared to Northern European countries' recession.
• What is necessary for finance mobility in the Eurozone?

  There should be complete mobility of finance with prices and wages free to adjust.
• What is a strength of the Eurozone regarding labour markets?

  Labour markets fluctuate based on member countries' market conditions.
• What should be done to maintain stability in the Eurozone?

  There should be automatic fiscal transfers to poorly performing countries.
• Why are automatic fiscal transfers important for Eurozone countries?

  They are important because members have lost the use of monetary policy to address crises.
• What was the situation regarding fiscal transfers to Spain, Portugal, and Greece after the 2008 Financial Crisis?

  The fiscal transfers were very weak to these countries post-crisis.
• What political tensions emerged in the Eurozone after the 2008 Financial Crisis?

  Citizens of wealthier countries did not want their tax revenue used to bail out countries with poor fiscal history.