Turkey : A Growing Proportion Of Young Population

Ever since Greece joined the Eurozone their economy has been falling apart. Greece was the last country to join in 2001. The euro replaced their modern currency of the drachma. Today Greece is still trying to fight to pull out of the deep and horrid debt they are in. Greece could become the first country to leave the Eurozone, due to its struggling economy and financial crisis, leaving the European Union in debt while helping Greece crawl out of their terrible nightmare.

This credit was available until 2008, when the U.S. housing market crashed, and the global economy tightened up everywhere (“The European Debt Crisis Visualized”). Greece suffered terribly from this because their economy relied on borrowing and deficit spending. Without being able to borrow that money, not only their economy, but all of Europe’s economy suffered.

As far as Greece’s role in creating this crisis in the first place, it can be said that Greece is at fault for a variety of reasons. The media has been focusing on the corrupt political system and infrastructure, the lack of competition in the private sector, the wastefulness and inefficiency of the public sector and a flawed tax system as causation for this mess. When the public sector was expanded in the 1980’s, Andreas Papandreou was given various agricultural subsidies and grants to do with what he pleased. This enabled the funding of certain post-World War II groups to heal political wounds and fund unions and other special interest groups to aid his political capital and strength. The policies enacted in this decade allowed for the increase in power and funding of the middle class by creating a vast amount of inefficient public sector government jobs for citizens. This resulted in an increase in the levels of inefficiency, bureaucracy, corruption and wasteful spending coupled with the increase in wages, pensions and benefits. This proceeded to drain through government money and resources, and did not breed a culture of highly motivated, efficient and effective government employees. A high amount of debts accumulated as the nation continued to proceed in this way, using state money to subsidize failing businesses

In 1999, ten European nations joined together to create an economic and monetary union known as the Eurozone. Countries, such as Germany, have thrived with the euro but nations, like Greece, have deteriorated since its adoption of the euro in 2001. The Eurozone was created in 1999 and currently consists of eighteen European nations united under the European Central Bank and all use the euro. The Eurozone has a one point six percent inflation rate and an eleven point six percent unemployment rate in 2014. Greece joined the Eurozone in 2001 and was the poorest European Union member at the time with a two point six percent inflation rate3 (James, 2000). Greece had a long economic history before joining the Eurozone. The economy flourished from 1960 to 1970 with low inflation and modernization and industrialization occurring. The market crash in the late 1970’s led Greece into a state of recession that the nation is still struggling with. Military failures, the PASOK party and the introduction of the euro have further tarnished Greece’s economic stability. The nation struggles with lack of competitiveness, high deficit, and inflation. Greece has many options like bailouts, rescue packages, and PPP to help dig it out of this recession. The best option is to abandon the Eurozone and go back to the drachma. Greece’s inflation and deficit are increasing more and more and loans and bailouts have not worked in the past. Leaving the Eurozone will allow Greece to restructure and rebuild

The Greek government-debt crisis has seldom seen a break from the public eye since its first bailout loan in 2010. With a sweeping change in political standing, the question now looms as to whether the newly elected Prime Minister, Alexis Tsipras should pull the plug on Greece’s membership in the Eurozone. In the most part, International financial and political institutions such as the International Monetary Fund (IMF) and the European Union (EU) are helping economic recovery in Greece. Through a variety of implemented fiscal and social measures, Greece will ultimately be spared from a detrimental Grexit, seeing a sound economic outcome through means of democratic legitimacy.

It is a fact that, despite the reluctant signs of recovery in Greek economy, unemployment rate remains at its highest levels since the beginning of the crisis (27, 2% May 2014).Also Greece has one of the

In 2010, the IMF, along with European Central Bank and the then-sixteen members of the European Union, drew up an economic bailout package in the form of €110 billion loan to ‘rescue’ Greece from “sovereign default”—i.e. Greece’s inability to pay back its existent debt. This action was a response to the growing fear of default from (mostly private) investors around the time of the Great Recession and resultant European debt

When the European Union was established in 1993, its goal was to create a common currency in Europe, called the euro (“Eurozone”). This goal was achieved in 1999, and the euro is now used by 17 European Union countries, including Greece (“EUR”). Greece adopted the euro in 2001, and their economy has been struggling ever since. Since joining the European Union, Greece has struggled economically, politically, and might continue to struggle in the future.

Greek government could default, exit the euro and reintroduce the drachma, which would instantly depreciate, possibly by 50 percent or more. This would leave Greeks much poorer than their European neighbours, and would inflict horrible economic pain in the short term. But it would also make the Geek economy much more competitive. Flight capital would begin to return to take advantage of the investment opportunities, and millions of tourists would flock in for a cheap holiday. After the intial pain, growth would soon pick up.

In the lead-up to the global financial crises, Greece was already struggling financially. Joining the European Union (notably below the financial requirements in place by the union) further restricted the control the Greek Government had over manipulating their economy, predominantly due to the centralized euro currency. The government had also been providing false data on their financials for some time, all of which came to a head at the time of the GFC.

The 2008 Great Recession, Greece had the highest debt in the European Union. The Greek inefficient tax collection, and its unemployment was “worse than unemployment in the United States during the Great Depression,” which made it very difficult to cut spending (O’Brien). Prior to joining the EU, Greece already experienced inflation and fiscal deficits (Johnston). Although the

As you could imagine 19 countries sharing the same currency has its major problems. Greece are needing more money to pay off their excessive debts, so a simple thing that could be done is print more money, but you see a major problem of this is that the amount of money printed is controlled by the European Central Bank, so basically they weren’t allowed to print any money.

Another solution would be if Greece decided to leave the Eurozone. This was thought about because at the height of the debt crisis experts believed that Greece’s problems would affect the whole world. If Greece defaulted on its debt and exited the

The economy of a country has a controversial impact on the people of a nation, the nation’s relations with other countries and even other country’s economies. Over the course of about eight years, Greece has faced multiple economic challenges that many other countries have struggled with in the past. One of these struggles includes a shrink comparable the size of the United States’ economy during the Great Depression (1). Though facing economic hardships, Greece has found a way to thrive in other sections of the economy. Greece has multiple trading partners that help lead to a very abundant market for the households and firms. They hope that with some help from the European Union they will find a way out of all the debt they have

In 2014, the total value of Greek distributes equalled 27,556 million euro, which justifications for approcixatley 15.1% of the Authentic Greece’s Gross Domestic Product, also known as GDP. Despite the fact that the economic crisis in Greece has continued this year, exports remain at the same levels as the previous year. Exports to the European Unuion (EU) extended to a relatively comfortable 46% during the financial year ened of 2014, boldly highlighting the extreme importance of Greek foreign trade to the EU.