Some countries of the EU dont want to use the new EU money the euro. Why might they want to keep the old money

Answer 1

The reasons are economic and political. The most obvious economic answer is that there can be a difference between the preference for a particular rate of inflation in Country A and Country B (or an aggregate region such as the EU).

The second best reason is the lack of a meaningful history for the Euro, or for that matter, a happy outcome from any monetary union that was not also a political union. This affects the credibility of the ECB.

One of the political reasons is that the Euro is managed by a central bank that attempts to set a monetary policy for a region that doesn't yet have a strongly integrated fiscal policy. If a Euro refusenik has local economic conditions that are sharply different from those in Euroland, then adoption of the Euro may lead to a shock in the form of a flood of inbound or outbound capital.

Another political reason is that many people want their country to have sovereign control of the process of seignorage (issuing money) in their country. In the Euro system, the leadership of the European Central Bank will, far more often than not, be exercised by somebody from a foreign country.

Answer 2

Some countries might want to keep their currency because of it's nationalistic symbolism. I can only imagine the fit Americans would throw if somebody told us we had to use something other than the dollar. Currency is one of those things you don't think about much but use all the time, and while a somewhat universal currency has its rational benefits those benefits have to outweigh the emotional consequences for people to be able to agree to use it.

Answer 3

If their own currency is more valuable than the euro (like the British pound) then it doesn't make sense to use the euro.

Answer 4

not only is the british pound worth more than the euro, it is also far more stable and secure then the euro

Answer 5

Because their income is reduced with euro