**FAQ**

Q: What is Modern Monetary Theory (MMT)?

A: Modern Monetary Theory (MMT) is an economic theory that focuses on how governments that issue their own currency can utilize that currency to achieve full employment and price stability.

Q: What is the Eurozone?

A: The Eurozone is a monetary union of European Union (EU) member countries that have adopted the euro (€) as their common currency.

Q: What is the Stability and Growth Pact?

A: The Stability and Growth Pact (SGP) is a set of fiscal rules that govern the EU Member States’ budget deficit and debt levels. It is aimed at promoting fiscal discipline and stability in the Eurozone.

Q: What is the Excessive Deficit Procedure (EDP)?

A: The Excessive Deficit Procedure (EDP) is a mechanism designed to ensure that EU member states maintain discipline in their government’s budgets by limiting government deficit and debt levels.

**Conclusion**

The debate surrounding the Eurozone and the application of Modern Monetary Theory (MMT) continues to be a topic of discussion among economics experts. While some argue that recent developments in fiscal policy within the Eurozone suggest a shift towards embracing MMT principles, others maintain that the fundamental constraints faced by Eurozone Member States remain intact. The enforcement of fiscal rules, conditionality on bond-buying programs, and continued austerity measures indicate that the Eurozone still operates within strict boundaries that limit the fiscal sovereignty of individual nations. It is crucial to understand the complexities of the Eurozone architecture and the implications of fiscal decisions on economic stability within the region.