We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Why the Euro Crisis Is an American Problem - Assignment Example

Comments (0)
The Euro crisis is an American problem, and American nationals should worry about it. Majority of people do not understand the implications of the disintegration of the European currency that is common to seventeen nations…
Download full paper
Why the Euro Crisis Is an American Problem
Read TextPreview

Extract of sample
Why the Euro Crisis Is an American Problem

Download file to see previous pages... It is estimated that the collapse could generate a 25% decrease in Europe’s gross domestic product (GDP). In effect, the euro crisis would represent a Great Depression of the current century, and this would be a threat to the global financial system (Zuckerman, 2011).
According to Frum (2011), if the Euro falls, bonds will lose value in the European banks. This is because banks in the European region hold euro-dominated bonds. The bonds will lose value such that the banks will be forced to either seek assistance from the government, or put to a stop their lending to individual consumers and/or businesses (Frum, 2011). The fall of the euro will adversely affect other nations like Canada and the United States. For one, the financial institutions in Europe may lose their capacity to repay creditors in the United States. The net effect of the crisis will be more pressure on the financial system of the United States. Yet again, it should be considered that majority of the investors in the United States are from the euro zone , and if the eurozone economies fall, the Americans will have a difficult time raising capital for their businesses and new projects (Frum, 2011).
The genesis of the crisis is very clear. Just like the United States, Europe was a victim of over-leveraging. The past decade has seen the European Central Bank overseeing easy credit, cross-border lending, and low interest rates which was instigated by a property boom and the increase of debt in households. The bubble has already burst, and the outcome has been the risk of failure to negotiate currency defaults and a series of frighteners (Zuckerman, 2011). It is worth noting that the majority of the Americans see the euro crisis as a crisis generated by government debt and government deficits. The same can be true of Greece, but it is not certainly true of France. If the Euro falls, each nation in the European region will be forced to have its own currency. This means that each nation will have to pay its debt using its own currency and not the euro (Frum, 2011). Europe’s option to avert the crisis is either to stop using the euro to restore each government to its own currency or to develop a single pan-European government to manage the new pan-European currency. Both options are not attractive to the United States. The United States has no option but to either suffer from the first option or contribute in support of the second option. Both options will have a considerable effect on the United States, and thus, the American cannot escape the euro crisis, it is their problem. Question 2: State Based Teaching Incentives to Improve Quality of Education Offered to Public Schools For a long time, the focus of the policymakers has been on improving or enhancing teacher quality. In the past few years, most reform efforts or initiatives have included strategies to enhance the overall quality of teachers and the equitable allotment of teachers within states, districts, and schools. The federal government endorsed an act in 2001in respect of education. The No Child Left Behind Act of 2001 is aimed at ensuring teacher quality and fair distribution of teachers. The act demands that all states evaluate the allocation of teacher quality, create, and implement plans to enhance teacher quality and assure fair distribution of quality teachers (Fuller, 2010). In the past, local districts have been designing and supporting their individual recruitment programs. This isolated approach generally develops inequities across the states. This is because ...Download file to see next pagesRead More
Comments (0)
Click to create a comment or rate a document
Euro Zone. Decision Making Process
The Euro zone, which is officially known as euro area is the monetary and economic union between the 17 member states of the European Union. The member states belonging to the Eurozone are Austria, Belgium, Finland, France, Cyprus, Estonia, Germany, Ireland, Italy, Greece, Luxembourg, the Netherlands, Malta, Slovakia, Slovenia, Portugal, and Spain.
12 Pages(3000 words)Assignment
American government policies in overcoming the aftermath of the Financial Crisis of 2008
The financial crisis affected the macroeconomic aspects such as the employment, government spending, domestic and international borrowing. In addition, it resulted to the poor performance of the stock market in many countries, collapse of the local and international financial institutions as well as bailout of the banks by the governments.
9 Pages(2250 words)Assignment
Cuban Missile Crisis, Vietnam War and the 9/11: Three Moments of Watershed in American History
The crisis was a conflict among USSR, Cuba and the USA in October 1962. In 1958, the USA installed medium and intermediate range ballistic nuclear missiles in Western European countries, which had threatened the security of the USSR.
4 Pages(1000 words)Assignment
1970s Euro & American Auteurs (History of Film 2 : Post-1940)
However, there were and are many directors that have surpassed those opposing arguments, such as Scorsese, Coppola, Lucas and Allen. These directors have added such unique qualities to their films that it is difficult to not view
1 Pages(250 words)Assignment
Decision Making - Euro Crisis
The crises have led to decrease in exports from the financial giants. Apart from the giants, the third world countries have been affected severely. There has
14 Pages(3500 words)Case Study
Euro crisis
It is also an essential task to analyze the problems deeply before making the decision. While making decision there are certain steps that need to be followed (The American Bar Association Commission on Law and Aging and Curran 2006). The report will present an
24 Pages(6000 words)Assignment
Crisis communication
My second aim of writing the email was to motivate the workers to work harder so that our organization can increase its volume of profits I also intend to emphasis to the managers the need for greater zeal of success. . Because
5 Pages(1250 words)Assignment
Syrian crisis
Some of the Al Qaeda elements involved in this global affair are absconders and demanded for prosecution by United States of America, hence this falls in conflict with the core cause of ousted of Bashar AL Asad and American security internally. In the wake of such tangled scenario, it is being echoed whether the existence and stay of Bashar Al Asad goes in the favor of President Obama administration and the vested interest of United States of America.
1 Pages(250 words)Assignment
The Greek Debt Crisis
The rate of unemployment has increased and the gross domestic product has decreased. During the Euro zone crisis, Greece has faced the debt crisis severely as compared to the other countries. The government has focused on the
8 Pages(2000 words)Assignment
Crisis Management
The events can have minimal impact prompting the managers to tolerate them. Stakeholders in a project often bid them on a fixed-cost basis and fixed-time. The unanticipated events have the potential of rapidly rising to the crisis level if they lie within a project’s path that defines the time frame for implementing the projecting.
12 Pages(3000 words)Assignment
Let us find you another Assignment on topic Why the Euro Crisis Is an American Problem for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us