Eurozone and the Euro

In: Business and Management

Submitted By intothewildernes
Words 1528
Pages 7
Eurozone: Euro Falling?
In recent news, many of the Eurozone Financial Ministers met to discuss the value of the Euro, how they will reform the outstanding debt situation within the Eurozone, and how they will respond to strengthen its power. However, discussions have come to a standstill as German Chancellor, Angela Merkel, is only looking out for the best interests of her country. She wants those financially irresponsible countries, such as Greece, to reform their ways and is, moreover, concentrating her energy instead on changing Eurozone treaties to allow closer fiscal union and supervision of member nations' budgets, even though analysts have told the Euro-bearing nations that the currency might take a harsh blow from which it will never recover, possibly leading to the complete dissolution of the Euro currency. People are saying that this will only have an effect on Europe, but they are wrong. The official decisions that are made will affect the rest of the world and will either cause Europe to rise up to the occasion or make the world enter another Era of Depression. It is because of these reasons that show Europe’s debt crisis has forestalled market activity; they are implementing characteristics of a mercantilist society, modernizing their economic systems to benefit only themselves, and a globalized economy will occur, whether its one of prosperity or trepidation.
Mercantilism which is the economic theory that European governments used serving only their countries’ economic interests best, has been around for centuries, even before the predominant states of Athens and Greece in Early Ancient civilizations. In the worsening economic system in Europe as discussed in "In Europe debt crisis, markets and masses wait for Merkel to blink" by Henry Chu of the Los Angeles Times, mercantilism is very apparent. “Eurobonds were reportedly on the agenda for…...

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