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From a Currency Board to the Euro: Public Attitudes toward Unilateral Euroization in Bulgaria

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Abstract

Bulgaria has operated a currency board since 1997. It is expected to join the EU in 2007 and the EMU thereafter. This paper uses survey data to analyze public attitudes toward adoption of the euro in advance of EMU membership. Bulgarians are equally split in support for and opposition to euroization. The reasons to support euroization include the eliminated risk of currency devaluation and the perception that the euro is already widely used in the economy. The opposition derives from people’s attachment to the national currency and from concerns about the conversion costs involved in a switch to the euro.

Suggested Citation

  • Neven Valev, 2004. "From a Currency Board to the Euro: Public Attitudes toward Unilateral Euroization in Bulgaria," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0423, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    • Handle: RePEc:ays:ispwps:paper0423
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    File URL: http://icepp.gsu.edu/files/2015/03/ispwp0423.pdf
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    2. Steven Buigut, 2008. "Determinants of the Public's Preference for a Referendum on Monetary Union," Economics Bulletin, AccessEcon, vol. 6(46), pages 1-7.

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    More about this item

    Keywords

    Euroization; Dollarization; Euro; Survey Data; Bulgaria; Currency Boards;
    All these keywords.

    JEL classification:

    • P2 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies
    • F3 - International Economics - - International Finance

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