It was envisaged that the currency, which Mr Major called the "hard Ecu
", would be used initially by businesses and tourists, and managed by a new European monetary fund.
government proposed an alternative that embodied the Hayekian parallel-currency principle and came to be known as the "Hard Ecu" plan.
Several alternative blueprints for a path to EMU include (i) the "Maastricht" approach (time-specified/gradualist), (ii) the Hayekian "Hard Ecu" approach (competition/gradualist); and (iii) the "Hawaiian" approach (shock-therapy).
The Hard ECU
. This plan, proposed by the British, calls for a parallel currency that would compete with national currencies and be managed according to its own criteria.