Is independence consistent with Scotland keeping the pound Essay

Is independence consistent with Scotland keeping the pound - Essay Example de â€Å"The Euro†, â€Å"A new Scottish currency† and â€Å"keeping Pound as a part of a formal sterling currency union.† The UK government argued in this regard that after independence, the economies of Scotland and rest of the UK might start to vary due to certain imperative factors encompassing the formulation along with the execution of the above-discussed policies, fluctuating interest rates and incessantly transforming financial conditions among others (Webb 2-15). It would be vital to mention that the aforementioned factors eventually erupts the question concerning whether independence is consistent with Scotland keeping the Pound. Scottish independence is not simply a subject matter of constitutional sovereignty. It can be apparently observed in this similar concern that there are certain states, particularly in Europe, which are legally sovereign but possess minimal scope towards administering themselves. In this regard, the social arrangement of Scotland represents that the political behaviour of the state has become quite converged in recent days, as compared to the earlier years. Notably, Scotland, among other European states, experienced massive deindustrialisation, owing to which the economy of the state became excessively reliant on consumer spending and on an exaggerated housing market as well. Thus, the sovereignty of Scotland emphasised augmenting public finances and endeavouring towards enhancing the ability of affording a liberal welfare state and most vitally, enriching the public services. It has been argued by the nationalists in this similar concern that Scotland, with its sovereign power, wou ld be able to manage as well as utilise the accessible resources efficiently with the incorporation of various activities that may comprise balancing revenues with international trade, coping with the fluctuations concerning interest rates and contributing extensively towards raising wealth funds (Keating 1-16). It has often been argued that Scotland is