Preface Introduction; L.S.Talani Some Thoughts on Monetary and Political Union; P.De Grauwe European Fiscal Policy Coordination and the Persistent Myth of Stabilization; E.Jones The Role of Preferences and the Sustainability of EMU; F.Torres Globalisation vs. Europeanization: Assessing the Impact of EMU on Business Cycle Affiliation; M.Artis EMU and the Euro-Mediterranean Dialogue: Trade Interdependence Between Mediterranean and Euro-area Countries; G.Fazio In and Out of Monetary Unions: Lessons from, and Risks for the EMU: An Alternative Approach to Monetary Unions; A.Verde EMU and the Quest for Competitiveness; L.S.Talani The Lisbon Strategy, Macroeconomic Stability and the Dilemma of Governance with Governments: Or Why Europe Is Not Becoming the World's Most Dynamic Economy; S.Collignon Conclusion: The Future of EMU; L.S.Talani