1.10. A single currency for the Gulf states (advanced). Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the...
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1.10. A single currency for the Gulf states (advanced). Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates have long been rumored to be seriously considering the adoption of a common currency. Research the current exchange rate system that each Gulf state currently implements. Would the Gulf states qualify as an optimal currency area? What would be the greatest potential costs and benefits of such a grand plan?
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