Exchange Rate Mechanism
E12916
The Exchange Rate Mechanism was a European monetary system designed to reduce exchange rate variability and achieve monetary stability in preparation for the Economic and Monetary Union and the eventual adoption of the euro.
Observed surface forms (2)
| Surface form | As subject | As object |
|---|---|---|
| Exchange Rate Mechanism II | 0 | 2 |
| Exchange Rate Mechanism II for non-euro EU members | 0 | 1 |
Statements (42)
| Predicate | Object |
|---|---|
| instanceOf |
European monetary arrangement
→
exchange rate system → fixed-but-adjustable exchange rate regime → |
| aimedAt |
limiting competitive devaluations among European countries
→
supporting creation of a single European market → |
| alsoKnownAs | ERM → |
| appliesTo | pre-euro period of European monetary integration → |
| appliesToJurisdiction |
European Economic Community
→
surface form:
European Community
|
| basedOn | Deutsche Mark as anchor currency in practice → |
| componentOf | process of European Economic and Monetary Union → |
| continuesAs |
Exchange Rate Mechanism
self-linksurface differs
→
surface form:
Exchange Rate Mechanism II for non-euro EU members
|
| country | member states of the European Economic Community → |
| currency | European national currencies prior to the euro → |
| endTime | 1999 for countries adopting the euro → |
| foundedBy | member states of the European Economic Community → |
| goal |
achieve monetary stability in Europe
→
prepare for Economic and Monetary Union → prepare for adoption of the euro → reduce exchange rate variability among European currencies → |
| hasEffect |
convergence of inflation rates in participating countries
→
greater exchange rate stability within Western Europe → |
| hasPart | bilateral central rates against the European Currency Unit → |
| inception | 13 March 1979 → |
| influenced | design of the euro area monetary framework → |
| legalBasis | agreements among central banks of EEC member states → |
| monitoredBy |
Committee of Governors of the Central Banks of the Member States of the EEC
→
central banks of participating states → |
| partOf | European Monetary System → |
| precededBy | earlier European currency arrangements such as the Snake in the Tunnel → |
| regulates | bilateral exchange rates between participating European currencies → |
| replacedBy |
Exchange Rate Mechanism
self-linksurface differs
→
surface form:
Exchange Rate Mechanism II
euro area single currency regime → |
| significantEvent |
1992–1993 European exchange rate crisis
→
widening of fluctuation bands to ±15% in 1993 → withdrawal of the British pound from the ERM in 1992 → |
| startTime | 1979 → |
| typeOf | regional monetary cooperation arrangement → |
| uses |
European Currency Unit
→
surface form:
European Currency Unit as reference unit
central exchange rate parities → fluctuation bands around central parities → mutual intervention obligations by central banks → short-term monetary support mechanisms → |
Referenced by (7)
Full triples — surface form annotated when it differs from this entity's canonical label.
this entity surface form:
Exchange Rate Mechanism II for non-euro EU members
this entity surface form:
Exchange Rate Mechanism II
this entity surface form:
Exchange Rate Mechanism II