Werner Report

Werner Report in Europe

Description of Werner Report

The Concise Encyclopedia of the European Union describes werner report in the following terms: [1] The Werner Report prefigured in 1970 many of the features which marked later efforts to achieve monetary union. It was a period of intense currency instability, with a strong D-Mark and a weak French franc both parting company from the dollar, itself suffering from a US balance of payments crisis. In 1971 the post-war monetary order based on the dollar, known as Bretton Woods, collapsed; and in 1973 the Yom Kippur War in the Middle East led to a quadrupling of oil prices, accompanied by global stagnation and inflation. A less propitious period for introducing monetary union could scarcely be imagined, and the project soon disintegrated, after two attempts at fixing European parities (the ‘Snake’ and the ‘Snake in the tunnel’) had fallen apart. The episode was a humiliating failure, but it taught the Commission that Treaty law and a supranational central bank were essential ingredients for success if the plan were ever to be relaunched.

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Notas y References

  1. Based on the book “A Concise Encyclopedia of the European Union from Aachen to Zollverein”, by Rodney Leach (Profile Books; London)

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