en the member countries of the EC agreed to the formation of the European Monetary System (EMS), and the organization became a functional reality in March 1979 (von Ypersele, 1985, p. 8). The formation of the EMS was given impetus by three major concerns in the late 1970s. First, European businesses were encountering increasing difficulties as a consequence of the exchange rate flexibility which characterized the European monetary environment of the day. Second, rising price inflation added to pressures for strong and stable currencies. Third, the Deutsche Mark began to stabilize (as opposed to its strong appreciation trend), which lessened the pressures on the FRG monetary authorities to seek higher interest rates, and, in turn, made a tie to Europe's strongest currency more palatable for the remaining EC member countries.
The member countries of the EC have benefited greatly from the economic and political accomplishments of the organization. Should all go as planned, all of the economic barriers which continue to separate the member cou
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