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Bachelor Thesis from the year 2012 in the subject Economics - Monetary theory and policy, grade: 2,0, Frankfurt School of Finance & Management, language: English, abstract: The main objective of this thesis is to find out whether the PRoC is an OCA and what does it mean for the EMU. Based on the differences between the two currency areas, I would like to discuss whether there are any lessons that are worthwhile to be learned from the PRoC by the EMU to face better current and future crises. Therefore, the thesis is organized as follows. Section 2 provides an overview of the theoretical framework which this bachelor thesis is based on, namely the theory of OCA. Section 3 explains the methodology of my empirical study and describes the used data set. Section 4 examines the PRoC as an OCA. I evaluate each criterion on the basis of my own empirical study or available literature. After I briefly analyzed the Euro Crisis in section 5, I compare the EMU with the PRoC on the basis of OCAcriteria followed by a discussion why there are differences and whether the EMU could improve conditions as a common currency area by learning from the PRoC. Section 6 concludes my findings and relate them to my opening questions of this introduction.
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