Vesna Luković
DOI: https://doi.org/10.31410/ERAZ.2019.15
5th International Conference – ERAZ 2019 – KNOWLEDGE BASED SUSTAINABLE DEVELOPMENT, Budapest – Hungary, May 23, 2019, CONFERENCE PROCEEDINGS
Published by: Association of Economists and Managers of the Balkans – Belgrade, Serbia
Conference partners: Faculty of Economics and Business, Mediterranean University, Montenegro; University of National and World Economy – Sofia, Bulgaria; Faculty of Commercial and Business Studies – Celje, Slovenia; Faculty of Applied Management, Economics and Finance – Belgrade, Serbia;
ISBN 978-86-80194-20-2, ISSN 2683-5568, DOI: https://doi.org/10.31410/ERAZ.2019
Abstract
Legal independence of a central bank is a necessary but not a sufficient condition for actual independence. There might always be incentives to circumvent the legal framework with an aim to influence the behaviour of the central bank. That has a particular importance in transition economies. This paper sheds new light on policy choices when preparing to enter the European Union and euro area from the viewpoint of central bank independence in transition economy. The paper shows how to adjust to the legal provisions of the Eurosystem and, at the same time, achieve Maastricht convergence criteria to join the euro area.
Key words
independence of the central bank, convergence, transition economy.
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