In December 1995, the European Council, metting in Madrid, confirmed "unequivocally" that the third and final stage of economic and monetary union (EMU) will begin on January 1, 1999. The Council chose "euro" as the name of the new single currency and adopted a timetable for decisions and...

This essay examines the connection between the establishment of a common market and additional moves to monetary and political union. It then reviews both the monetary and fiscal aspects of ninteenth-century German unification. Finally, it discusses what modern Europe can and should learn from...