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just a quick article on the advantages and disadvantages of implementing another african monetary union in the east of the continent. There is a problem in africa at the moment where there are already 3 other monetary unions in africa and they wish to implement another.

Christine Lagarde, the International Monetary Fund Managing Director, warned Kenya that the East African Community Monetary Union "should be the last thing Kenya gets into."

This article discusses the common trade-off between unemployment and inflation. In Europe, the Central Bank is expected to lower interest rates, a monetary policy strategy, in order to aid with the current issue of low inflation and high unemployment. Decreasing interest rates has the general effect of increasing Aggregate Demand in an economy, and according to the relationship between these two aspects of macroeconomics this increase is likely to increase inflation while also reduce unemployment as real output increases.

Maltese is selling passports to members of other countries to have access to the EUs custom union. This may lead to trade creation and we would expect people to buy the passport for such a reason. However this could also lead to trade diversion and so people will have to factor in this with their decision to either join this monetary union.