Is Monetary Union feasible in the Central American Integration System (SICA)?

Abstract

This essay is based on the hypothesis that the monetary union is a logical and necessary component of the process of economic integration of the Central American Integration System (SICA), however, the necessary conditions for its establishment have not yet been achieved. Consequently, the general objective is to analyze if, according to the current state of the economic integration process of SICA, it is feasible to establish a monetary union in the region, which is addressed through four specific objectives: 1) Know the background of the objective of establishing the monetary union in Central America. 2) Study the rethinking of the integration process in Central America and its impact on the objective of the monetary union. 3) Analyze what are the indispensable technical reasons for establishing the monetary union in the SICA. 4) Determine if according to the current state of the economic integration process in the SICA, it is feasible to establish a monetary union. To analyze the described phenomenon and its situation in the SICA, the hypothetico-deductive methodology was used, through which the phenomenon to be studied was observed, a hypothesis was created to explain this phenomenon previously mentioned, logical reasoning was made, consequences or propositions were deduced more elementary for the hypothesis itself and verified the truth of the deducted statements, comparing them with reality, starting from the general to the specific.