International Monetary Fund And The European Union Has Changed The Environment Of The Country 's Worst Economic Recession

1210 WordsMay 29, 20155 Pages
With Greece struggling under the weight of the country’s worst economic recession in recent history, the economic, political, and social environment of both the native and immigrant people has changed dramatically, with employment and income rapidly shrinking, and competition within the two groups increasing. This has resulted in lower wages, a contracting labor market, and fewer regularized immigrants; all of which drawing attention to immigration as a growing threat to the cohesion of modern Greek society. Greece is currently undergoing a considerable hindrance regarding the economic recession. Huge public debt and the government 's decision to borrow from the International Monetary Fund and the European Union has changed the…show more content…
As a result, Greece has received the highest percentage of immigrants in relation to its workforce in the 1990s. This is true despite it being one of the less-developed nations in Europe at that time. By 2001, Greece had an immigrant population of just over 762,000. Greece 's geography became especially important after the formation of Europe 's borderless Schengen Area. It has also contributed to the country 's transition to an immigrant-receiving nation. Greece has become a common route for those seeking entry into Europe, with its favorable position, extensive coastlines, and crossable borders. economic recession-natives: The economic crisis in Greece began through government policies that promoted overspending, while relying extensively on external loans to finance it. This issue was increased when Greece entered the European Monetary Union, therefore making the cost of borrowing very favorable. For the past decade, Greece could borrow money with interest rates close to those afforded by much more advanced economies. As a result, the national debt grew exponentially until Greece could not borrow any more money. The Greek government asked the European Union for assistance in 2009, and soon afterward the European partners, along with the IMF, agreed to a series of loans and debt reductions for more sustainable debt levels for Greece. As a condition for this aid, they requested the
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