Looking back on three years of European monetary union we can therefore safely say that in the Eurosystem we have coped with various forms of stress. Our success is founded on the common stability orientation. The Eurosystem is obliged by the EC Treaty to maintain price stability. Fiscal policy is committed to sound public finances by means of the Stability and Growth Pact.
Productivity growth is now usually taken into account when wage agreements are negotiated. A generally stable currency and markets that trust the stability-orientation of central banks make for lower price increases in times of crises. They also anchor inflation expectations at low levels .The greater currency area is able to cushion external shocks.