In this paper we discuss the achievements and the challenges of the Eurozone. We first analyze the record with respect to inflation. Second, we discuss the degree of price transparency in the Eurozone. Next we analyze the extent to which monetary union has promoted faster economic growth. Fourth, we study the challenges that arise from the increasing divergencies of wages and prices within the Eurozone. We conclude with a discussion of the governance of the Eurozone and the political issues to which this leads.