Euro i ekonomska suverenost Crne Gore.

The concept of sovereignty has changed substantially as a result of developments, in both flows and structure, of regional and global socio-political and economic environment. Contemporary processes of globalization and regionalization create overlapping networks of economic and political integration that cut across territorial boundaries. The Euro regime presents the concept of split sovereignty! For the first time a paradigm of dualism for the concept of sovereignty has been initiated It is often argued that sovereignty of national monetary policies and flexible exchange rates in international market are a kind of instrument used by monetary authorities against possible asymmetric shocks and emphasized differences in business cycles. However, this kind of insurance per se invites the behavior that could hamper longterm progress towards stability, particularly in countries with inflation history. The stability achievements of the Euro, among others, are clearly evident in price developments. In Montenegro consequently, inflation has hovered around 2% level, as in whole euro area, that is for ECB considered to be an upper limit for the price stability in the medium term. In this paper I will try to elaborate how introduction of euro increased the level of individual sovereignty in Montenegro. Even thought introduction of euro meant the loss of monetary sovereignty, it has enhanced the improved environment for transformed fundamental nature of sovereignty: sovereignty at the level of individual. An overwhelming consensus on the necessity of law inflation, independence of the national central banks and benefits of stability oriented economic policies influenced that the loss of national sovereignty over monetary policy has became a smaller problem now than in the past. The main implications of loss of monetary sovereignty by the EU countries, joining the EMU, are weighted as the benefits of considerable stability in exchange rates, increased competition and dynamism in the area. For Montenegro, partial loss of monetary sovereignty particularly brought the conditions for more effective pursuing of public interest meeting the basic requirement for stability. [ABSTRACT FROM AUTHOR]