One can only imagine how tempting protectionism would have been if the possibility of competitive devaluations had not been eradicated. The euro has also shielded us from external shocks. Soon after its launch, it quickly established itself as the world's second reserve and invoicing currency.
However, the national real interest rate is not the same for each sector. The relevant real interest rate differs according the different price developments. It is lower in the sector with higher sectoral inflation rates et vice versa. For the sector of tradables the real interest rates do not differ that much. European Economic and Monetary Union has a population of 300 million people.