With the launch of the Euro, Europe's monetary landscape has changed fundamentally. Now in its fourth edition, this well-established textbook on monetary integration has been significantly rewritten to take account of these changes.New issues include:Monetary policies in Euroland in the presence of asymmetric shocksThe mechanics of open market operations in EurolandIs the Eurosystem too decentralized?The Target Payments systemProblems of bank supervision and control in EurolandThe future of the euro in the international financial systemWill the euro be a strong currency?Financial and banking integration in Euroland.This latest edition has been produced in a larger format, with clear figures and tables packed with relevant international data. Chapter conclusions provide a clear summary of each topic under discussion. Paul De Grauwe's lucid and balanced analysis continues to provide a clear account of all thecrucial issues surrounding monetary union for undergraduate students of monetary economics and European studies.