– I assume a newly divorced Scotland would need to apply for membership of the UN, NATO and the EU. This last one could make it very expensive to join.
You wouldn’t necessarily have to join NATO or the EU. You could be like Switzerland and be a member of neither, or like Norway and not be a member of the EU. But I would imagine that the case for joining the EU would be strong.
One would assume that membership of the UN is a given.
Difficult choice – stay with Sterling or move to the Euro. In either case the Scottish Government would have little control on economic policy – which appears to be one of the main arguments being used in favour of devolution.
There’s a third option, of course, which is to issue new currency, but I think that’s a crap one.
There’s a fourth option, of course, which is to use another currency altogether e.g. the USD. Quite a few currencies do. Downside: probably heightened currency risk.
Taking monetary policy out of the hands of domestic politicians might not be such a bad thing.