The Analytical and Conceptual Framework

Abstract

The principal motive behind French policy on monetary co-operation and integration in Europe between 1968 and the start of Stage Three of Economic and Monetary Union (EMU) on 1 January 1999 was the pursuit of monetary and economic power.* The French sought to maximise national control over monetary and macroeconomic policymaking by minimising the impact of American and German monetary policies upon the franc and the French economy, and by maximising French influence over the establishment of American and German monetary policy. Their objective was to preserve national control in an increasingly integrated world economy, in which developments in larger national economies had increasing influence over domestic economic developments. The failure to improve monetary co-operation at the international level increased French efforts to compensate for this within Europe.