Convergence in the EU related to the Maastricht criteria

Abstract

Regarding the entry into the euro area, the convergence of the EU economies can be monitored in several dimensions. One of them is the convergence represented by the Maastricht criteria, which are the only official conditions of joining the euro area for the EU countries. The aim of this paper is to detect the development of convergence related to these criteria in the EU and to draw mutual relations between the convergence criteria and the impact of compliance with these criteria on other kinds of convergence. Subsequently, some impacts of meeting these criteria on the economic growth of the EU economies joining the euro area are derived. Accordingly, some asymmetric transmission channels related to the convergence indicators embodied in the Maastricht criteria can work in the monetary union and can have impacts on the economic growth in the euro area. Attention is paid to the impact of convergence in terms of compliance with the Maastricht criteria in a broader meaning and in interaction with convergence according to other concepts. Moreover, the most recent economic crisis has had a significant impact on the development of convergence criteria in the EU and its countries.