ECONOMICS
FOREIGN CURRENCY MARKETS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Either A or B
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None of the above
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Detailed explanation-1: -Although all EU countries are part of the Economic and Monetary Union (EMU), 20 of them have replaced their national currencies with the single currency – the euro. These EU countries form the euro area, also known as the eurozone.
Detailed explanation-2: -In total, seven EU countries don’t use the euro: Bulgaria, Czech Republic, Denmark, Hungary, Poland, Romania, and Sweden. In these countries, visitors from the eurozone still need to exchange money before they travel.
Detailed explanation-3: -The euro as the official currency The euro is the official currency of 20 European Union countries which collectively make up the euro area, also known as the eurozone.
Detailed explanation-4: -(The euro is also the official currency in several areas outside the EU, including Andorra, Montenegro, Kosovo, and San Marino.) The 20 participating EU countries are known as the euro area, euroland, or the euro zone.