Optimum Currency Area (OCA) Theory,
Definition of Optimum Currency Area (OCA) Theory:
The Maximum Monetary Area (OCA) theory states that some areas that have not been demarcated will benefit from the common currency. In other words, geography is better than the use of the same currency with each country's own currency in that geographical area.
- Maximum Currency Area Theory states that there should be currency sharing in certain regions as well. Multiple countries, parts of multiple countries, or territories of a country with their own currency. Can be customized.
- This theory assumes that the introduction of currency through geographical and geopolitical regions rather than countries leads to greater economic efficiency.
- The maximum currency area for eligibility should meet four criteria, and some economists recommend a fifth criterion.
Literal Meanings of Optimum Currency Area (OCA) Theory
Meanings of Optimum:
Extremely favorable conditions or degrees for growth, reproduction or success.
The more favorable the results, the better.
Sentences of Optimum
Plants will grow between 68 and 78 ° F, and a maximum of 74 ° C
Ideal age for birth
Synonyms of Optimum
apex, apogee, prime, crest, pinnacle, tip, peak, perfect, top, model, highest point, summit, most favourable, most advantageous, crown, zenith, ideal, most appropriate, high point, best
Meanings of Currency:
The currency system is usually used in a given country.
Generally accepted or used fact or standard.
Sentences of Currency
The deadline was extended to the second half of the 20th century
Synonyms of Currency
coins, money, banknotes, cash, circulation, prevalence, legal tender, paper money, dissemination, exposure, publicity, medium of exchange, coinage, notes
Meanings of Area:
Boundary or width of an area or region.
A basement allows access to the basement of a building.
Synonyms of Area
size, compartment, province, region, scope, department, sector, expanse, zone, quarter, line, compass, district, extent, domain, territory
Meanings of OCA:
An oxylate plant from South America that has long been cultivated in Peru for its edible roots.
Sentences of OCA
Potatoes are also very important and offer a crop protected from frost, hail and storms, along with related stems, hollows and aloes.
Meanings of Theory:
A system of powers or ideas for the purpose of explaining something, especially based on general principles, regardless of how it is explained.
Sentences of Theory
Darwin's theory of evolution
Synonyms of Theory
notion, proposition, feeling, presupposition, surmise, hunch, conjecture, guess, speculation, thesis, supposition, presumption, postulation, assumption, postulate, premise, suspicion, hypothesis