The Feasibility Of Single Currency Area Established In ASEAN And Achieving Approach

From 1950s, the East Asia's economy began to grow rapidly, and the growth became an important pole in the promotion of world economic growth. But The East Asian Financial Crisis not only interrupted the sustained rapid economic growth in 40 years, but also made the East Asian economy suffer heavy blows, and left the countries with profound lessons. After the crisis, the East Asian countries committed to economic recovery. At the same time they strengthened the economic and monetary cooperation in East Asia, and have made some achievements. Chiang Mai Agreement is the most important result in East Asia monetary cooperation. It has far-reaching significance for preventing financial crises and promoting further regional monetary cooperation. And it takes a historic step for monetary cooperation in East Asia.However, overall, monetary and the process of financial cooperation in East Asia is slow, and remained at a lower level. How to change the current awkward situation of the East Asia monetary cooperation, and promote the cooperation to a new height becomes the issue for many scholars. According to the Theory of Optimum Currency Areas, the East Asian countries'current state possesses some conditions for the establishment of a unified currency such as the degree of liberalization of foreign economy and so on. Meanwhile, there are many difficulties in the East Asia monetary cooperation, such as large differences in the level of economic development, the weak basis in political cooperation, lake of core countries and lake of core currencies, low mobility of factors and the limitations of Chiang Mai Agreement. This is the reason that the East Asia monetary cooperation cannot have a deeper development. So in the entire East Asian region, it doesn't have enough conditions to establish the unified monetary area. But in some sub-regional, there is the possibility to establish a single monetary zone. As the highest degree of integrative organization, ASEAN has possessed the base conditions to establish monetary union.According to the Theory of Optimum Currency Areas, we analyze...