Analysis of European Financial Crisis Essay

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Abstract

The global financial crisis that began in 2007 continues to evolve and spread, it affects every country in the world. A dangerous economic instability has settled in Europe that threatens to melt down the single currency. The purpose of this research is to identify what is the future if the current crisis continues and if the Euro disappears. After examining the current situation of the crisis and its effects on each country, many questions can be asked and assumptions can be made on our future. This study first explores the current crisis, government action, the opinion of an expert as well as those of the press and on the future scenarios that could take this crisis. Subsequently confront public opinion through a questionnaire for their views on the crisis, its causes, its repercussions, the different possibilities to solve it and finally whether it can be resolved. It shows that people are aware of the negative impact of the crisis on business and on their daily lives and that the euro is in danger, but they remain confident they think the crisis can be resolved and that the single currency can be saved. They do not believe in the end of Europe and a return to old currency.

Table of contents

Abstract…………………………………………………………………………………1
Table of contents………………………………………………………………………3
Introduction………………………………………………………………….…………5

Chapter 1 : Literature Review…………………………………………………….……7
1.1.0 Introduction………………………………………………………….……………..7
1.2.0 The Euro crisis………………………………………………………...……………7 1.2.1 Historical Perspective………………………………………………………….…7 1.2.2 The currency in danger………………………………………………………...…8

1.3.0 Economic situation of countries in difficulty………………………………………9 1.3.1 Greece…………………………………………………………………………….9 1.3.2 Ireland………………………………………………………………...……..……9 1.3.3 Portugal……………………………………………………………….………….10 1.3.4 Italy………………………………………………………………………………10 1.3.5 Spain…………………………………………………………………..………….11

1.4.0 The impact on the world economy……………………………………………...….11
1.5.0 How can the crisis be halted ? How the Euro can be saved ? ……………………..12
1.6.0 The Euro may collapse and what would be the consequences if the Euro disappears?……………………………………………….……………..……13

Chapter 2 : Research Methods ………………………………………………………..15

2.1.0 Data collection and sampling………………………………………………………15
2.2.0 Research questions and hypotheses………………………………………………..15
2.3.0 Research approach and strategy………………………………………..…………..16
2.4.0 Design of the Research Tool……………………………………………………….16
2.5.0 Piloting of the Research Tool………………………………………………………17
2.6.0 Limitations and Problems…………………………………………………………..17

Chapter 3 : Results (Data) ……………………………………………...……………...19
3.0 Introduction……………………………………………………………………….....19
3.1.0 Primary data collection………………………………………………………….....19
Chapter 4 : Discussion…………………………………………………………..……...30
4.0.0 Introduction………………………………………………………………………...30
4.1.0 The single currency is it in danger because of the crisis?……………………..…...30
4.2.0 What are the consequences of the crisis on the world economic? ………………30
4.3.0 Is that the crisis is affecting people's lives? ………………………………….……31
4.4.0 What will happen in the future in the Eurozone? …………………………………31

Conclusion………………………...……………………………………………..……...33
Limitations………………………...………………………………………….................33

Bibliography…………………...………………………………………………………...36

Introduction

Since the crisis has reached Europe, a dangerous economic and monetary instability has settled. Countries threatened to go bankrupt one after the other Ireland, Greece, Portugal, Italy and Spain. Investors have lost confidence in the European market despite the measures and bailout taken by European leaders to resolve the crisis. The crisis affects the business world as much as people's lives. European companies have been hit hard, the area is undergoing a recession and the various governments announce more austerity measures in their countries. The Greece is always
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