EnAk wrote:There's two things I don't like about the euro.
First of all, the introduction of the euro was forced upon us. Dutch citizens didn't have anything to say when politicians decided to ditch the Guilder.
In my opinion, only companies that do business in various EU countries profit from the introduction of the euro.
That is not true. Now you can go on holiday to Italy, Spain, Greece, Austria,
Finland or any other euro country without having to exchange your guilders
to lires, pesetas, drachmes, schillings, markkas or other currency, so you
don't have to pay exchanging costs anymore. And I am glad the Dutch
citizens didn't have anything to say about it, they would only use
arguments like "we'll lose our identity!" or "the euro money is much uglier
than guilder money!"
EnAk wrote:Second, and possibly even more important, the introduction of the euro caused inflation to soar (although politicians - them again! - still try to convince us that inflation really isn't that high and certainly not caused by the euro).
Many shopkeepers seemed to think that €1,- equals ƒ2,-. In reality €1,- equals ƒ2,20371...
That's untrue. Look at this graph for the inflation over the period
2001-2004:
There you can see the inflation reached its highest point in Apr/May 2001,
and not 2002. In the forst months of the euro, the inflation was about 3,5%,
but people experienced the inflation to be 7,3% (see
here, page 5)
The inflation was because the economy got overheated, not just because
of the euro. I won't deny the fact that prices have risen in, for example,
hotels, restaurants and cafes, but that effect was countered by the fact
that prices of cars and electronic stuff have dropped. Don't forget that
inflation has always existed, and prices have always been rising.
And let's not forget the psychological effect. People who see something is
priced €0,99 are more willing to buy it than if that same thing was priced
ƒ2,18. Besides, the €50 bill has about the same substantial colour as the
ƒ50 bill (orange and yellow), so people spent their euros as if they were
guilders. That also explains why the prices have risen in the supermarkets
those days: if people consume more, the prices will rise with a bigger
amount. But the last two years a price war has been going on between the
supermarkets, so the prices are at the level of the end of 2001.
Besides: many people compain about everything being more expensive
due to the euro, but they still buy those expensive products! How hypocrite!
If you think something is too expensive, then do not buy it!
EnAk wrote:However, I try not to convert prices back to Guilders (except for big numbers, just to get an idea of how much it really is). The reason is simple: every time I try it, I'll live ten years less. I always get a big fright when I realize how much things cost in The post-euro Netherlands.
You should have done that, and wonder: "Do I want to pay this price for
that article?" If not, then don't buy it. If most people consider the price too
high, then eventually the price will go down. And besides that: by not
converting the price to guilders, you run a risk that you spend your euros
as if they are guilders, and then it is no wonder you experience everything
to be expensive!
EnAk wrote:The only reason for me to like the euro, is the possibility of tracking the notes all around Europe and the world.
It is the euro that binds us!
Of all the words of mice and men, the saddest are 'It might have been.' - Kurt Vonnegut
and ever had 
)
