Free

The Greek Crisis: Tragedy or Opportunity - Case Study Example

Summary

However, salvation lies in the fact that the bankers throughout the world should continue to support Greece in order to prevent any domino effect…

Download full paper File format: .doc, available for editing

GRAB THE BEST PAPER98.6% of users find it useful

The Greek Crisis: Tragedy or Opportunity

Read Text Preview

Subject: Finance & Accounting
Type: Case Study
Level: Ph.D.
Pages: 1 (250 words)
Downloads: 12
Author: murazikmaci

Extract of sample "The Greek Crisis: Tragedy or Opportunity"

Financial Markets Market Sentiment of Greece Greece is going down, but it will not be alone, there are fears that the fall of Greece can hamper the entire global economic system. However, salvation lies in the fact that the bankers throughout the world should continue to support Greece in order to prevent any domino effect in the Global Economy. Analyzing Greece using CAMEL is a difficult task since it is one of the most volatile economies of the world. Capital Adequacy of Greece has improved after the IMF reform package and EU showing support to the economy.

However the probability of default on its debts is higher for Greece than other countries who can print their own money. Hence, investing is risk is not trouble free and Capital Adequacy holds a big question mark. Asset Quality of Greece is mediocre. Greece relies on tourism for most part of its revenue and hence it has all eggs in one basket. There’s too little diversification for the investors liking. Hence, Greece can never be a sure shot buy on the basis of its asset quality. Management of the economy is better than before.

The new government has shown some determination in resolving the issue and hence management of the economy can be rated as good if not great. However, Liquidity of Greek Bonds would be pretty low considering the nervous market sentiments of Greek Bonds and hence outside investor confidence would be low and secondary market trade for Greeks would also likely to be lower than other instruments.

Cite this document

APA
MLA
CHICAGO

(“The Greek Crisis: Tragedy or Opportunity Case Study”, n.d.)
Retrieved from https://studentshare.org/finance-accounting/1589927-the-greek-crisis-tragedy-or-opportunity

(The Greek Crisis: Tragedy or Opportunity Case Study)
https://studentshare.org/finance-accounting/1589927-the-greek-crisis-tragedy-or-opportunity.

“The Greek Crisis: Tragedy or Opportunity Case Study”, n.d. https://studentshare.org/finance-accounting/1589927-the-greek-crisis-tragedy-or-opportunity.

Cited: 1 times

CHECK THESE SAMPLES OF The Greek Crisis: Tragedy or Opportunity

The aftermath of the global financial crisis 2007-2009

Since higher interest rates were charged on the sub-prime loans, many banks and financial institutions saw it as an opportunity to earn more profit.... Explain the reasons that triggered the global financial crisis, elaborating in detail on the flaws in the management of risks by banks.... Answer Many causes created the global financial crisis.... Sub-prime loans were easily available before the emergence of financial crisis....

11 Pages (2750 words) Essay

Where Are All the Jobs

That tragedy is most greatly reflected in the massive unemployment we have experienced.... What do the statistics truly reveal about the current unemployment crisis and what has the current administration done to improve or prevent it?... They do not include, previously, stay at home mothers or fathers that have, due to the economic crisis, found it necessary to find work but are unable to do so....

4 Pages (1000 words) Research Paper

Efficiency of Currency Conversion

The international foreign exchange market offers businesses the opportunity to trade using local currency thus increasing the business penetration in the global market.... Question three Currency crisis and the default crisis are related especially in the developing country.... Normally, the currency crisis precedes the default crisis indicating the relationship between the two crises.... In order to avert currency conversion crisis, countries must ensure that then conversion rates are maintained at a stable price which increases trust in the currency and improves the development of the necessary capital stability....

4 Pages (1000 words) Essay

Macro economics

European Debt Crisis Date University European Debt Crisis In 2009, the greek prime minister announced that the financial deficit for his country was 12.... This announcement led to the start of the European debt crisis.... To understand the European Debt crisis, the events leading up to 2009 must be thoroughly analyzed.... The inability for the European countries to manage their debt was the leading cause for the European Debt crisis....

4 Pages (1000 words) Research Paper

What does the Ionian revolt tell us of the nature of Persian imperial rule

After the last Lidia's ruler Kreza was defeated, Persians had conquered the greek colonies that were located at the west coast of Asia Minor.... Ionian revolt is a rebellion of greek cities in Ionia (Asia Minor) against Persian Empire, that was the beginning of greek-Persian wars.... Till this time people who lived there considered themselves to be greek and were engaged in trade.... In return Lidia provided greek with autonomy and right to act without obstacles....

6 Pages (1500 words) Essay

Book analyze

This gives her best opportunity to quench her thirst for justice.... When they get out of the royal place, the nurse talks about the events that resulted in the current crisis.... The play was first produced in the year 431 before Christ.... The author of the play is Euripides....

4 Pages (1000 words) Book Report/Review

Crisis Intervention Using ABC Model

The promotion was a situational stressor disguised as an opportunity for John and his family.... The paper "crisis Intervention Using ABC Model on a Case Study" analyzes how crisis intervention methods are effective in dealing with social and medical problems which result in a crisis for individuals.... For the family, these occasions have become a family crisis because in their culture, it was highly important to value family and relations....

6 Pages (1500 words) Research Paper

Reasons That Triggered the Global Financial Crisis

Since higher interest rates were charged on the sub-prime loans, many banks and financial institutions saw it as an opportunity to earn more profit.... The author of this paper “Reasons That Triggered the Global Financial crisis” investigates and presents causes created the global financial crisis which did not remain within the boundary of the United States of America but spread to other countries.... In the late 1990s and the early 2000s, many developing countries put a large amount of savings into the US banks and other financial institutions The present paper has identified that sub-prime loans were easily available before the emergence of a financial crisis....

11 Pages (2750 words) Assignment