With the development of international communication, the world becomes smaller. Many areas such as foods and culture from different part of the world become integrate. Some parts of the world connect closer than ever before range from law to currency, like the European Unions. Some people come up with such an idea that is what if we use the same currency all over the world? There is no doubt that using one-world currency will bring lots of benefits to international trade. Twelve countries of the European Union have already used the same currency.
One obvious advantage to customers in those countries is that they can purchase more goods than before with lower price. All of the business in those counties can trade freely. Merchandisers can get more chances than ever before and governments can also get more foreign investment. Using one-world currency also benefits travelers. As people are living a better life than before, travelling is a good choice for us to spend our leisure time. If we use the same currency all over the world, we can travel without considering exchange rates. There is no need to change money anymore.
Travel seems to be more enjoyable and attractive. When we use the same money at abroad as that at home, we will feel like we are natives. We all think we are a member of the whole world. It is good for the world peace. However, there are also some drawbacks if we use one currency. First of all, it is very unstable to use one-world currency. Once a country breaks out a financial crisis, finance of other countries will also be influenced. Like Eurozone, when the debt crisis occurred in Greece, other countries in Eurozone also suffered a lot.
The Term Paper on Single Currency Countries European Union
... at odds with each other. Common currency in so many different countries with different growth rates and developments ... Regional Adjustment, fourthly Development of Freedom of Movement (Goods, Capital, Services, Labour), fifthly Competition Policy, and finally Tax ... future attitudes institutions, policies and world events, which again can't be predicted" SINGLE CURRENCY Economic and monetary union is ...
This showed that it is very hard to maintain the stability of financial world. We should also see many obstacles lie on the way of currency integration. For example, cultures are different and economic performances vary a lot. Admittedly, there are some advantages if we use one currency. However, when comparing to its disadvantage and obstacles at this stage, it is not worth to say. I think we can achieve the dream of using one currency only if all countries in the world have similar economic performance.
