Losing control of the currency will result in all domestic manufacturing to become more expensive (therefore incapable to compete with higher quality German goods), and all manufacturing capabilities will disappear in favour of the most cancerous form of industry, tourism. Like what happened to Greece and Portugal.
All it takes is for one chain to round prices down (1-2¢ isn't going to be an issue for them), advertise this, and gain many new customers.
The markets are only efficient on paper ;)
It’s also funny to see how anti everything related to EU/Europe most of the tech people are. You can see this here, like most of the comments that now proclaim the death of Bulgaria or Germany bailing them out, from people that have no clue on the background and history of this move.
Moreover, Bulgaria does not directly compete with Germany in the same product categories. Bulgaria is integrated into supply chains, often providing components or assembly work for German companies.
You are only 7M. I’ve got the feeling that it is just not large enough to significantly be distorted by eurozone monetary policy, at least in the way that might affect much larger economies.
This is objectively wrong, since Bulgaria currently had 0 control over its currency, where joining the eurozone, they’ll have a vote at the table
Studying the root causes of the two world war would certainly enlighten
And if you (or the first comment author) had read the article, then you would immediately have identified the problem with the comment.
Apparently, they did not use that control in the last 26 years.
aorth•5h ago
https://apnews.com/article/bulgaria-euro-protest-nationalist...
windowshopping•4h ago
akmarinov•4h ago
petre•4h ago
Bulgaria has a pegged currency to the Euro since forever, they got quite depopulated after 1991 and their only chance is to become a tourist destination and to attract some investments from Türkye and maybe Greece, because nobody else would invest. The fact that Romania isn't interested in builing more bridges over the Danube and that Serbia isn't part of the EU also puts the northern part of Bulgaria in a tight spot. If you want to see what a depopulated country looks like, travel through northern Bulgaria. It looks like the descriptions from the book The World Without Us.
LfLxfxxLxfxx•4h ago
akmarinov•4h ago
Also a referendum on the topic was ruled illegal, because it’ll violate the EU accession, where EU adoption is mandatory when criteria are met.
Also it’s too late now, it all depends on two votes on the 8th of July by the ministers of finance and the EU parliament. Bulgaria has no way of pulling out now, without doing massive damage to their EU integration, credit score and investors’ interest.
saturn_vk•3h ago