Monetary Expert on Monnet’s Action Committee for the United States of Europe

Robert Triffin played a key role in the debates on European monetary integration, especially as the monetary expert of Monnet’s Action Committee for the United States of Europe. He developed proposals for European monetary cooperation, especially a European Reserve Fund and a European currency unit, inspired by his experience of the European Payments Union. In his view, a European Reserve Fund could be constituted by pooling 10% to 20% of the international reserves of the member states’ central banks. A key moment was the 1969 Hague summit when Triffin, via Jean Monnet, provided the German chancellor Willy Brandt with a plan for European monetary integration. Moreover, through his activities and connections in the world of commercial banking and finance, Triffin also actively promoted the European currency unit as a parallel currency in financial transactions and markets.

Post-COVID-19 EMU: Economic Distancing by Parallel Currencies

The coronavirus crisis has caused new distress in the European Economic and Monetary Union (EMU), as the southern part of the EMU has been hit stronger than the northern part. The common currency prevents nominal exchange rate adjustment in response to the asymmetric shock. Policymakers have therefore taken recourse to large-scale financial transfers. Based on the lessons from the German monetary union, this article proposes instead the introduction of parallel currencies to facilitate relative price changes. Parallel currencies in the south would allow an increase in competitiveness of the south via real depreciation. The introduction of a parallel currency in Germany would lead to capital inflows and a real appreciation of the new German mark. The pre-EMU pressure for structural adjustments and productivity gains would be restored.

Moderation is waning in Italy-EU conflict

Subject Italy's budget conflict. Significance June 5 marked a resumption in hostilities between Italy and the EU, after the European Commission sent a letter to Rome saying its spending plans were breaking EU fiscal rules. The Commission will now begin the process of implementing an excessive deficit procedure (EDP) against Italy aimed at reducing its deficit and debt. This will likely involve deficit reduction measures that could precipitate the collapse of the populist government. Impacts If an EDP is blocked, efforts to launch it will start again in September if Italy’s budget preview shows Rome not complying with EU rules. An EDP could lead to higher borrowing costs and make it more difficult for Rome to reduce its excessive debt, which is around 132% of GDP. A League-led right-wing government would push for aggressive tax cuts, potentially leaving Italy in the same predicament that it faces now. The implementation of a parallel currency to boost the supply of money would fuel concerns that Italy is prepared to leave the euro-area.

Parallel Currency Regimes in the Area of Financial Integration

The study presented in the article seems rather relevant due to the fact that the problem of indebtedness in the eurozone members has not been solved yet, and these countries still continue to accumulate debts. Therefore, the eurozone members are expected to find effective ways to restore competitiveness after the crisis of 2009‒2012 without exiting the single currency agreement. The research is aimed at encompassing the relations which come into being as a result of credit use, money circulation, and money transfer payments. Consideration of these issues seems very important since it can help restore the loss of monetary independence. The subject of the article is the ways to denominate debt securities in the currency units under the control of the national governments and the central bank. The main purpose of the paper is to develop the approaches to parallel circulation of a single currency unit which can be devalued to solve the debt problems. The practical significance of the article lies in the possibility to use the European experience in solving the problems of common currency circulation in the process of Eurasian currency and financial integration. In terms of economic theory, the results and general outcomes of the work are important for the development of a concept to rationalize monetary policy and money circulation. In conclusion, the article proposes a parallel currency circulation regime which allows a member country of the currency agreement to stay in the common currency area and retain some functions of the monetary policy which were sacrificed due to the creation and operation of the common central bank.

REPORT FROM THE SCIENTIFIC CONFERENCE PT: "PROJECT OF IMPLEMENTATION OF LOCAL LONG-TERM BALLS IN OPEN HOUSE" WHICH WAS REACHED ON 31 AUGUST 2016 IN THE HEART OF WARSAW HIGH SCHOOL IN OTWOCK

On August 31st, 2016, a scientific conference entitled "Implementation of parallel local currency in Otwock District" was held in Otwock near Otwock. The main topic of discussion during this Conference was the methodological assumptions of various concepts and formulas for the implementation of the parallel local currency in local government units applicable in the Otwock District. After several years of implementation of this type of parallel currency there should be positive trends confirming the acceleration of growth of the local economy, including improvement of the labor market situation and increase of tax revenues of the budget of the Otwock District, which will translate into increased investment in local infrastructure and improvement of quality of public services provided. Increased expenditure on education and public sector institutions' offerings.