Euro-optimists are convinced that with OCA criteria as guiding principles:
A) Eurozone members will never again be caught in the trap of fiscal irresponsibility.
B) the euro will strengthen against other world currencies to the extent that even occasional debt issues will not affect it.
C) greater market integration will bring about labor and capital mobility and increased trade that will serve to strengthen the Eurozone.
D) the ECB will be able to loosen its stranglehold and provide sufficient liquidity for the Eurozone economies to thrive.
Ans: C) greater market integration will bring about labor and capital mobility and increased trade that will serve to strengthen the Eurozone.
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