Monitoring the European Central Bank

MECB: Update: June 2000

Over recent months the weakening euro has been much discussed and many have argued that it is a serious embarrassment to Europe. In line with the markets, and most observers, the ECB has repeatedly stated its view that the euro is abnormally weak and 'has a potential for appreciation'. It has raised interest rates on three occasions since the fall and yet the euro has moved steadily downwards. Explanations for this descent are certainly not lacking. The MECB Update: June 2000 discusses some of these explanations analysing both the 'implausible' ideas and those better grounded in observable facts.

The MECB Update: June 2000 is mailed free to all purchasers of MECB 2 (One Money, Many Countries) and cannot be purchased independently.


Favero, C, X Freixas, T Persson and C Wyplosz (eds) (2000), ‘MECB: Update: June 2000‘, CEPR Press, Paris & London.