Will be consistent the proposal for the creation of a monetary union in Mercosur?
This paper aims to discuss the proposal for monetary union in Mercosur in the light of the theory of Optimal Currency Area (OCA). It shows that there is no evidence that macroeconomic convergence can be reached in Mercosur, since the area only minimally achieved some basic criteria defined by the OCA literature.
JEL Classification: F2; F15; F45.
Keywords: Mercosur monetary union macroeconomics of monetary union