Is the euro becoming a laughingstock?
As concerns continue to mount regarding the future of the European Union, and the euro, a number of experts are starting to consider how we arrived at this situation. Only a few weeks ago the European Union appeared to be going from strength to strength, taking in new powers and new controls from various member states. However, the Greek debacle would appear to have been the Achilles' heel of the European Union!
After initially appearing to respond favourably to the Greek debacle and contain the fears of the investment markets we then saw a series of promises which never materialised and markets became more and more concerned. After initially suggesting a bailout fund in the region of EUR45 billion the final bailout figure was well in excess of EUR100 billion and will take place over three years. This massive increase in the cost of the bailout fund for the Greek government was predominantly because of the lack of confidence within investment markets and the slow response time from the European Union.
So far the European Union has been found wanting in many different situations over the last few weeks although those who believe the union is dead will have to think again. The European Union may be wounded but this animal is certainly not extinct yet!
Share this..
Related stories
Tesco crisis worsens as fifth executive is suspended
07/10/2014 The Tesco crisis has worsened as they have been forced to suspend a fifth senior executive, pending the results of their investigations. An investigation into the company’s finances was recently instigated by the discovery of a £250m black hole in their accounts. The latest executive to be suspended is Kevin Grace, who is the commercial director of the group, and the head of...
Read MoreUK economy falls flat
The Organisation for Economic Co-operation and Development (OECD) has today poured cold water on the idea that the UK economy is on the verge of recovery. The OECD believes that the UK economy will fall by 4.7% this year which is a significant increase on its earlier forecast of 4.3%. However, when you consider that the UK government is forecasting a fall of just 3.5% in 2009, the UK economy could...
Read MoreCan we discount the threat of inflation?
As Mervyn King, the Gov of the Bank of England, prepares to write a letter to the UK government explaining why inflation has risen to beyond 3%, is the Bank of England's dismissal of the threat of inflation fair? Despite the fact that UK inflation has spiked above 3% and prompted a letter from the Bank of England to the UK government to explain the situation, Mervyn King has been fairly dismiss...
Read MoreNationwide Report Suggests That Consumers Are Concerned
A report issued by the Nationwide has shown the level of doom and gloom in the retail market with consumer confidence at a 4 year low. The survey, which uses a points system to represent consumer views on an array of subjects, has been falling for sometime but the index fall to 69 last month has caused alarm.
It seems that the UK consumer has quickly realised that the economy is...
Gordon Browns crusade to save the financial markets
As Gordon Brown urges the rest of the world to follow his lead and pump billions of pounds of tax payer's money into the banking system you could be mistaken for thinking that he has gone from zero to hero in a matter of day, but is this really the case? Are we now suddenly in Gordon's world?
The harsh truth of the matter is that while Gordon Brown has had his best few days for a lo...