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Solving Eurozone Financial Crisis - Essay Example

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An essay "Solving Eurozone Financial Crisis" outlines that Buruma’s argument on the political origin of European current crisis holds water. European single currency dream died in its infancy at the time of implementation since political goodwill to help weaker nations…
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Solving Eurozone Financial Crisis

Download file to see previous pages... For Buruma to suggest a political solution is a wild unrealistic dream since European region is synonymous with self-centered political and democratic interests. Indeed, a flashback on causes of World War 1 and World War 2 had the strong political correlation that has since then made states more cautious on interstate politics and democracy issues. Zakaria, on the other hand, suggests a workable financial solution to Greek’s financial nightmare. Bailouts and financial restructuring have not worked so far largely because they have not provided favorable economic growth for Greece. Greece and Italy crisis is not just a problem of respective countries but a financially cancerous disease for entire Europe. Europe can only resuscitate Greece’s economy by enabling Greece to attract capital and investments whilst keeping wage bill within manageable limits. The moment Greece starts recording positive economic growth, recovery will be guaranteed. This approach is highly likely to succeed since it does not require dramatic political and democratic restructuring of entire Europe zone. In simple terms, it is better to show Greece “how to fish” instead of “lending them a fish” every time they are hungry. ...Download file to see next pagesRead More
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