The Czech Republic, along with the other nine recent members of the European Union, is committed to joining the euro area and in broad terms also committed to undertake policies which facilitate entry. These are certainly not unwelcome conditions of EU membership. Indeed there is little doubt that there are potentially significant economic benefits, not only because of gains from joining a large currency area but also because the conditions for entry encourage maintaining low and stable inflation, and reductions in government deficit and debt that in themselves would improve growth...