ELI5: Is there a reason why there isn't a universal currency system?

The Introduction of the Euro has nothing to do with that at all.

Ireland did grow from one of the poorest European countrys in the 80's to the top 10 of wealthiest nations worldwide per capita by 2008. This economic upswing caused the construction boom. Irish banks took increased risk and increased their credits. Irelands economy was fueled by the construction businesses - more so than many other countrys - and when the speculations failed, and the mortgages in the US where over their prime, it hit extra hard. This would have happened with or without the Euro. Even with an own currency, internal devaluation (for example) would not made things better for ireland when the bubble did burst.

Still, the GDP growth rate was almost not affected for Ireland compared to the countries that took the major hit/are in the majority to blame, and loss in GDP per capita was average - Irish citizens where still amongst the richest worldwide. The Euro was one of the reasons so many companys moved productive assets to Ireland from abroad in 2014, 2015 and 2016 - a tax heaven like Ireland with a currency like the Euro is the dream of many companys.

/r/explainlikeimfive Thread Parent