For Buruma to suggest a political solution is a wild unrealistic dream since European region is synonymous with self-centered political and democratic interests. Indeed, a flashback on causes of World War 1 and World War 2 had the strong political correlation that has since then made states more cautious on interstate politics and democracy issues. Zakaria, on the other hand, suggests a workable financial solution to Greek’s financial nightmare. Bailouts and financial restructuring have not worked so far largely because they have not provided favorable economic growth for Greece. Greece and Italy crisis is not just a problem of respective countries but a financially cancerous disease for entire Europe. Europe can only resuscitate Greece’s economy by enabling Greece to attract capital and investments whilst keeping wage bill within manageable limits. The moment Greece starts recording positive economic growth, recovery will be guaranteed. This approach is highly likely to succeed since it does not require dramatic political and democratic restructuring of entire Europe zone. In simple terms, it is better to show Greece “how to fish” instead of “lending them a fish” every time they are hungry.
Cite this document
(“Solving Eurozone Financial Crisis Essay Example | Topics and Well Written Essays - 250 words - 1”, n.d.)
Retrieved from https://studentshare.net/business/741907-this-is-an-international-business-paper-please-see-the-detailed-information-below-it-requires-to-read-2-pdf-files-before-writing-it
(Solving Eurozone Financial Crisis Essay Example | Topics and Well Written Essays - 250 Words - 1)
“Solving Eurozone Financial Crisis Essay Example | Topics and Well Written Essays - 250 Words - 1”, n.d. https://studentshare.net/business/741907-this-is-an-international-business-paper-please-see-the-detailed-information-below-it-requires-to-read-2-pdf-files-before-writing-it.
Cited: 0 times
An essay "Solving Eurozone Financial Crisis" outlines that Buruma’s argument on the political origin of European current crisis holds water. European single currency dream died in its infancy at the time of implementation since political goodwill to help weaker nations…
The global financial crisis of 2008 has negatively affected the functioning of Eurozone. The financial crisis transformed into the sovereign debt crisis and the banking crisis in Europe, threatening the existence of the euro currency. It was necessary to create an effective plan for the crisis overcoming, in order to ensure the future for the euro.
The borrowing of Spain has increased drastically in past few months and this has reduced the investors’ confidence in the economy making the situation worse for the government since there is less investment and savings in the economy.
According to this discussion the banks and the financial institutions suffered from the crisis. The governments of almost all the nations had to come up with packages that are required to move out from such a situation. The financial crisis will shed its impacts around the globe due to globalization.
Eurozone. Eurozone or Euro area is the name given to the economic and monetary union of seventeen countries from Europe. Their membership represents the fact that they have chosen to use euro as their sole currency for all purposes. These countries include “Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain” (Lynn, pp.
Medicare programs assists aged and retired individuals get access to health care at any time of ill. Usually, retired individuals do not have other serious sources of income for supporting themselves in the lines of and acquisition of health care and basic human wants.
Introduction 3 2) Types of Financial Crisis 3 3) Causes of Financial Crisis 7 4) Prevent Financial Crisis 9 4) Conclusions 10 References 11 1. Introduction Financial crisis is a term used to identify events and situations where an entity such as a bank, financial institutions, and the stock market will suddenly see a devaluation of their assets.
It explains the political and economic reasons and aspects for the existence of the Euro. Furthermore, this paper contains an explanation on the why the contagion in Greece spread so fast into the other countries of the union. In addition to that, there is an explanation of the measures that the European Union, the European Central Bank and the have undertaken to solve the crisis.
One of the most significant causes of the financial crisis disclosed by the author is the market instability. This was related with the poor credit lines which had deteriorated the money supply while limiting the economic growth. Individuals and businesses were unable to pay back their loans which also affected the assets and cash reserves.
The euro is a single currency arrangement that came into theoretical operation between 12 members of the European Union in January 1999 (What are the arguments 2002). Two months after the euro was introduced as a cash currency on 1 January 2002, the euro has finally become the only legal tender currency in the 12 European countries (Schifferes 2002).
In the case of the Eurozone, countries like Portugal, Ireland, Greece, and Spain (PIGS) spend a lot of money borrowed from the market to finance subsidies and bank bailouts among other expenses (Belkin, Weiss, Nelson & Mix 7). The countries got greatly
1 pages (250 words)Essay
Got a tricky question? Receive an answer from students like you!Try us!
Let us find you another Essay on topic Solving Eurozone Financial Crisis for FREE!