The Debt Problem For Spain Essay

-Roark, James L., Michael P. Johnson, Patricia Cline Cohen, Sarah Stage, and Susan M. Hartmann. The American Promise: A Concise History. Boston: Bedford/St. Martin's, 2014. Print.

In 1490 there was no such country as spain, yet within a century it had become the most powerful nation in europe and within another century had sunk to the status of a third rate power. Describe and analyze the major social economic and political reasons for spains rise and fall.

U.S. National Debt The U.S. national debt has reached an alarming proportion. As it steadily increases, it's effect may not be felt now, but it will be in the future. Paul Gregory and Roy ruffin, in their book entitled Economics, linked deficits with inflation in the long run (251). Demand-side inflation of this type fails to increase the GDP, but instead just increases prices.

During the 15th century, many considered Spain insignificant. However, within a century it became a world-dominant power in Europe. Although Spain only took a brief time to rise, it was also short-lived. The rise of Spain was due to its flourishing culture, stable political system and successful voyages to the New World. On the other hand, its decline was due to religious control, resistance from other countries and inflation.

While the national debt continues to rise, we as individuals and as taxpayers need to come to realize that it is the priority to find ways to help minimize the extreme amount of debt the United States holds. Over the past decades, there have been some efforts to help reduce these cost by cutting some government funded programs. Some efforts of most recent years have been the Affordable Care Act of 2010, which provided more efficient methods all while minimizing spending cost of federal health programs. Also in the Budget Control Act that was carried out in 2011, which included $970 billion dollars’ worth of cuts to federal programs over the next ten years. Although many of these acts were established to help regain control over the nation debt

Many Americans today are aware that the United States is in debt, however, some may not realize by how much. Currently, the United States National Debt is up to 18 trillion dollars and is steadily increasing. This is a serious problem for the U.S., especially for millennials, who are going to be the ones living and dealing with the debt left behind for them. Increased spending, borrowing from China, and interest on the money borrowed are setting up our economy for an eventual crash, one that the upcoming generation may not be prepared for. Every dollar that accumulates into the debt will have to be repaid with interest at some point, making it harder to pay back. To gain a better understanding of how the U.S. dug itself into such a deep hole, one should start at the beginning of where the debt started.

On the Sixth Avenue in Manhattan, there is a national debt clock that shows the amount of United States national debt. The clock was first installed in 1989, and can show up to ten trillion dollars. It ran out of digits in October 2008 when the sum of debt exceeded the amount. A new clock with two extra digits is going to be installed (Izzo 2 ).

The National Debt started a long time ago when the U.S started the revolutionary war. It started in 1835 and went from there and our debt is rising till today. Our debt is predicted to be about 300,000,000 trillion dollars. The debt from September 2 was about 17 trillion it is rising very fast and when it gets too high the U.S will start losing products like Oil that we need for cars and other fuel working products. Our U.S. is one of the most highest in debt out of the whole world China is about 6 trillion, just an estimation, Africa is about 1 trillion, and Russia area is 8 trillion. $56,006 for every person living in the US. $145,950 for every household in the US. 103% of the U.S. gross domestic product. 540% of annual federal revenues.

According to brilling.com the U.S. national debt is increasing at an alarming rate of 2.35 billion dollars a day, witch comes out to be about 56,694 dollars per U.S. citizen. One of the major controversies over the national debt is who started the escalation and when did it begin?

The late 1800s was a high-tension and tumultuous time for both the United States of America and Spain. Spanish Colonialism had long been receding from its once powerful stronghold in the 16th and 17th centuries, and in the 1890s, the United States would make certain to diminish the last of Spain’s outlets. The precedent for the American, superpower perspective of the late 1800s is in large part due to President James Monroe’s Doctrine establishing the United States as the sole entity of social, political, and economic interest in the Western Hemisphere. The Monroe Doctrine clearly spells out that any territorial advances (or in this case, any territorial claims, whatsoever) would be recognized as an act of aggression and the U.S. would act accordingly (hint, hint – war). This document shaped the United States as the sole enforcer of both commerce and democracy in the Western Hemisphere in the minds of its constituents. Thusly, it is the least bit unusual to see President McKinley asking to declare war against the Spanish in defense of his country’s interest.

The fascinating and beautiful country of Spain is one of the largest countries in Europe. The history that Spain has had has left great stories to tell and remarkable landmarks to visit. Spain is located in the south west corner of Europe, with its neighboring countries, Portugal and France. It has a population of forty million plus people, but almost one-third of the nation’s population is foreigners that reside in its territory. One of the most important facts about Spain is that its economy is one of the largest in the world. Spain is currently in a recession, with low employment rates and poverty.

The Eurozone is facing a serious sovereign debt crisis. Several Eurozone member countries have high, potentially unsustainable levels of public debt. Three—Greece, Ireland, and Portugal—have borrowed money from other European countries and the International Monetary Fund (IMF) in order to avoid default. With the largest public debt and one of the largest budget deficits in the Eurozone, Greece is at the centre of the crisis. The crisis is a continuing interest to Congress due to the strong economic and political ties between the United States and Europe.

The economic crisis of 2008 in New York had ripple effects around the world, causing deep structural problems within the European Union to crumble the economies of several countries. These countries, known as the PIGS, are made up of Portugal, Ireland, Greece, and Spain, and collectively hold most of the sovereign debt problems of the European Union. After fast growth early in the decade, these countries were spending too much money and not securing their own banking sectors with enough capital. Soon, the debt the PIGS owed caused massive problems throughout the EU, and Germany and France had to come to the rescue of these poorly managed countries. (Greek Crisis Timeline, 1) Now, in 2012, the issue has yet to be fully resolved. Greece is still sinking, and a massive bailout for Greece's banks is required. The debate is whether Germany should continue bailing out Greece and collecting interest on its loans, or whether Greece should try to separate itself from the broader European Union, in an attempt to manage its own finances and declare bankruptcy in order to save itself from crippling interest payments. Each path offers an escape from the present situation that Greece finds itself in, but only the path of bailout results in a harmonious European Union. If Greece fragments off from the EU, then the entire union is weakened as a result. I believe that Greece should accept the terms of the bailout that Germany has provided, and should undergo several years

The European sovereign debt crisis, which made it difficult or impossible for some countries in the euro area to repay or re-finance their government debt without the assistance of third parties (Haidar, Jamal Ibrahim, 2012), had already badly hurt the economies in “PIIGS”, Portugal, Ireland, Italy, Greece and Spain. This financial contagion continues to spread throughout the euro area, and becomes a dangerous threat not only to European economy, but also to global economy.

What is the European Debt Crisis? The European Debt Crisis is the failure of the Euro, a currency that ties seventeen European countries together. In this paper, I will be describing the cause and effect of the debt crisis along with what would happen if the European Union stayed with the economy they have. Then what I believe is the best solution to fixing the debt crisis.