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Monetary integration and introduction of monetary union By Justyna Błaszczyk, BA student (unpublished manuscript) 1.1 Global Economic Integration Since Marco Polo travels, more than seven centuries ago, global economic integration has been a growing phenomenon. However, this kind of globalization process that occurs through trade, factor movements, and exchange of economically practical knowledge and improvements in technology, in the economic area has not always proceeded efficiently. Moreover, it has not always been beneficial for all whom it has affected. Nevertheless, despite some interruptions in the past, the degree of global economic integration has been on a rising trend among different civilizations around the world. In fact, during the past half century, global economic integration has been unusually rapid, and today is greater than it has been ever before and i t is more likely to deepen this trend continuing going forward. 1  There are three fundamental factors that have influenced the process of economic integration, and are probably to continue driving it in the future. These three factors a re 2 : - improvements in the technology of communication and transportation, that have significant influence on reducing the costs of transporting goods, services and factors of production and of communicating and exchanging economically useful knowledge and technology . - tastes of individuals and s ocieties have favored taking advantage of th e benefits offered by decreasing costs of transportation and communication of closer economic integration. - the pattern an d pace of econo mic integration has been highly influenced by the  public polices, although not always in the direction of closer global economic integration. These fundamental factors have highly influenced the character and pace of economic globalization in all of its significant dimensions. Three the most significant of these dimensions of economic integration are 3 : 1 Michael Mussa „Factors Driving Global Economic Integration”, Presented in Jackson Hole, Wyoming at a symposium sponsored by the Federal Reserve Bank of Kansas City on “Global Opportunities and Challenges,” Augus t 25, 2000 2 Ibidem

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