The European Monetary System has remained relatively stable in the eight years of its existence. The following article analyses the factors that have contributed to this stability and assesses the prospects for the system in the years to come.

On January 1, 1981 the southward extension of the EC starts with the accession of Greece. Spain and Portugal are to follow suit in the near future. The consequences in the industrial sphere will be less spectacular than those in agriculture but still of considerable importance for the process of...