on the long run (Wren-Lewis, 2001). Current researches say that the trade of the Eurozone with the rest of the world has already a 12 billion Euro surplus until July 2002 compared to a surplus of 8.7 billion within the same period last year. (Anon, 2002)
             As firms normally include a margin in their prices to cover unexpected exchange rate movement, this will again lead to lower prices for the consumers. Costs for this are estimated to be 1-2 % of the price. (Mercado et al., 2001) In addition investment will increase if the risk that is connected with holding a foreign currency is eliminated. (Wren-Lewis, 2001)It is expected that the increased trade will also lead to more competition. (Mercado et al. 2001). This means again an advantage for consumers, as increased competition will in the long run result in lower prices. One currency will also give the consumers the possibility to compare prices of different countries more easily, what will push them down to the lowest possible market level. (Mercado et al., 2001) This could result in a harmonization of the prices within the EMU and will thus create a true Single European Market (SEM), as because of big differences between prices in different EMU countries the SEM is not completely realized yet. (Johnson and Turner, 1999)
             As through the Euro not only prices, but also wages can be compared more easily the single currency could lead to a harmonization of wages within the Eurozone, what will maybe result in an increase of labour mobility. (Mercado et al. 2001)Trade Unions already hope that this will lead to EU-wide collective bargaining. (Johnson and Turner, 1999)
             Furthermore a single currency without an exchange rate is a prevention from speculative attacks. The past has shown that if speculators believe that a currency will loose value and thus sell their holdings and there are many people who believe them, the currency will collapse and the government will be forced to devalue it in...