What Euro-oughta Know

Have you been to France and Spain recently? Or perhaps you were lucky to go to Portugal on your holidays. If you have, did you notice that their bank notes and coins look very similar? Well, that is because they all use the same currency.

Back in January 2002, 12 countries in Europe decided to have one currency - THE EURO.

Although Britain is part of the European Union, so far we have decided to stick with our own currency. But there are many people who think we should also change to euros...

Arguments Against the Euro...

This is a subject that many politicians, economists, businessmen and the general public feel very passionate about.

Obviously, if we join the euro we will no longer have the pound - which has been around for many, many years.

Lots of people feel that we will lose some of our tradition and culture if we lose the pound. Surely tradition and culture are in our hearts and minds and not in the money you use, you might ask? Nevertheless many people feel that losing the pound would mean losing something very British.

Another argument is that if we no longer have our own money, we would lose control over it. That might sound odd, but think about it for a second...

Remember reading about interest rates in OINK! some months back? As you well know the interest rate is the cost of money, how much it costs to borrow and how much you get for saving.

Well, by having the euro our interest rates will be the same as France, Ireland and other euro countries (often nicknamed euroland).

The Eurosceptics (people against the euro) argue that it would not be good for the British economy. Decisions which have been taken on what is good for the euro might not always be good for individual euroland countries.

Think of it this way... you and your family move to a bigger house with a bigger garden, but it might not be better for you if it is further away from your school and friends.

This is just one side of the story though, so next month we will explore why people would want Britain to have the euro.

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