Article(print) World Affairs Online2006

From a currency board to the euro: public attitudes toward unilateral euroisation in Bulgaria

In: Comparative economic studies

Valev, Neven T

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Abstract

Bulgaria has operated a currency board since 1997. It is expected to join the European Union in 2007 and the European Monetary Union (EMU) thereafter. This paper analyses public attitudes toward adoption of the euro in advance of EMU membership and offers unique evidence on the political economy of a move from a currency peg to euroisation The support for early euroisation reflects concerns about currency devaluation and the perception that the euro is already widely used in the economy. The opposition derives primarily from attachment to the national currency. (Comparative Economic Studies / SWP)

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