Inflation and Exchange Rate Mechanism

Do the rates of inflation converge among the countries of EU? How vary are convergence processes in different groups of countries? The text study these questions and are trying to prove this process. Furthermore it is a question whether a mechanism of exchange rate (ERM) helped accelerate convergence of inflation of members countries involved in the mechanism. The motivation reason for these questions is evaluation of converging degree of inflation in EU. A finding and evaluation of convergence could predicate if one of conditions necessary for our participation in the EMU is reachable in close future. It is obvious, that countries, which for long time kept narrow fluctuation brand of ERM show out higher rate of convergence during time after base of mechanism.