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Old 06-28-2019, 09:05 AM
 
Location: North Idaho
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Why does Denmark not use the Euro? The short and accurate answer is that they don't want to.
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Old 06-28-2019, 09:22 PM
 
Location: Puna, Hawaii
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Denmark does use the Euro. And the dollar. And their own currency. They have one of the highest GDPs and standard of living in the world and although unelected EU bureaucrats in Brussels can try and tell them what they have to do with their currency they perpetually have one foot out the door if the needs suit them.



In other words, they're smart.
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Old 06-29-2019, 03:53 PM
 
Location: Haiku
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Quote:
Originally Posted by Drewjdeg View Post

Why don't they just join the eurozone so they can have an actual say in the their monetary policy?
They control their monetary policy. Within Denmark all business is denominated in Krone. Denmark controls Krone in their central bank. They can print more Krone by issuing bonds denominated in Krone. They can set their own banking rules. The Krone is not absolutely "pegged" to the Euro, it must stay within 2.5% of the exchange rate established by the ECB.
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Old 06-29-2019, 06:04 PM
 
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Originally Posted by TwoByFour View Post
The Krone is not absolutely "pegged" to the Euro, it must stay within 2.5% of the exchange rate established by the ECB.
Within normal macro-banking parlance the DKK is pegged to the Euro. There would be no reasonable way to peg an exact exchange rate all the time. As is the 2.5% leeway is very expensive to maintain. My guess is Denmark will move further away from the Euro over time.
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Old 07-05-2019, 02:28 AM
 
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Quote:
Originally Posted by terracore View Post
Denmark does use the Euro. And the dollar. And their own currency. They have one of the highest GDPs and standard of living in the world and although unelected EU bureaucrats in Brussels can try and tell them what they have to do with their currency they perpetually have one foot out the door if the needs suit them.



In other words, they're smart.
Agreed.

But I wonder if that foot is really out the door if their currency is pegged to the Euro. Could be one foot out the door in name only.
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