They demonstrate that there is significant leeway for losing, or gaining, competitiveness, even in the absence of exchange rate adjustment: more leeway than was foreseen prior to the launch of the euro. Let me give you an order of magnitude.
At present many Member States are making desperate attempts to meet the convergence criteria for introduction of the euro. Nevertheless we must make allowance for the fact that a number of them will not be able to participate when EMU takes off on 1st January 1999. We should not make too much of their predicament.