Greece Euro Debt Crisis

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Greece is a country located in Southeast Europe with a population of 10.8 million people. The country is located at the crossroads of Europe, Western Asia, and Africa. Greece's main industries are shipping and tourism and its economy is the largest in the Balkans. In late 2009, the Eurozone began experiencing some economic difficulties. Many European countries suffered the aftermath of the United States’ financial crisis that lasted from 2007 through 2009. Although Greece is the member of the Eurozone that has been in the middle of this ongoing debt crisis since November 2009, Greece has been fighting to stay afloat long before all of this erupted. The effect of the Euro debt crisis made it clear that Greece's excessive budget deficit and mainly its public debt were unsustainable. The crisis caused the interest rates to rise substantially as well as the unemployment rate from the beginning of Euro debt crisis and continuing forward. The gross domestic product declined and the inflation rose as well.
Greece was a starting point of the Euro debt crisis in late 2009 and it rapidly began to spread to other countries with weak financial and macroeconomic conditions. We found this very fascinating and because of that we decided to research further into a country that caused and placed such stress on the European Union. We will address the Euro debt crisis as well as shift the focus on Greece’s role in the crisis. We will discuss the causes, its effects, macroeconomic variables affected, policies adopted in order to solve the crisis, and the effectiveness of the chosen policies.
In the mid 2007, following the bursting of the housing bubble, the United States entered a severe recession. The subprime mortgage crisis and the financial cri...

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...o see how countries in those situations would receive worldwide aid.

Works Cited

"Central Intelligence Agency." The World Factbook. 24 Nov. 2013 .
Kouretas, Georgios P. The Greek Debt Crisis: Origins and Implications. Rep. 2012. Department of Business Administration Athens University of Economics and Business. 16 Nov. 2013 .
Nelson, Rebecca M. Greece’s Debt Crisis: Overview, Policy Responses, and Implications. Rep. 18 Aug. 2011. Congressional Research Service. 16 Nov. 2013 .
Papadimitriou, Dimirios. The debt crisis in Greece. Publication. Aug. 2011. CBS. 16 Nov. 2013 .

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