Responding to fears that moving to a fixed exchange rate monetary regime or currencyunion would involve a loss of sovereignty for Canada, Courchene and Harris say that such aloss would be more apparent than real. They point out thatit was during the fixed rate periodof the 1960s that Canada developed its comprehensive social policy infrastructure.Asafinalargument,CourcheneandHarrisnotethat,inanycase,eventselsewhereintheAmericasareforcingtheissue.Thereisalreadyatrendtowarddollarizationbothinfreetradepartner Mexico and in Argentina, which may serve to constrain the potential for a NorthAmerican currency union. Canada needs to be part of any public debate on the evolution of North American currency arrangements, the authors argue, to ensure that the NAMU optionremains on the table.
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From Fixing to Monetary Union: Options for North American Currency Integration
, C.D. Howe InstituteCommentary 127, by Thomas J. Courchene and Richard G. Harris (C.D. Howe Institute, Toronto, June 1999).28 pp.; $9.00 (prepaid, plus postage & handling and GST — please contact the Institute for details).ISBN 0-88806-459-6.Copies are available from: Renouf Publishing Company Limited, 5369 Canotek Road, Ottawa, Ontario K1J9J3 (stores: 71½ Sparks Street, Ottawa, Ontario; 12 Adelaide Street West, Toronto, Ontario); or directly fromtheC.D.HoweInstitute,125AdelaideStreetEast,Toronto,OntarioM5C1L7.Thefulltextofthispublicationwill also be available on the Internet.
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