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One of my assignments questions is What is your recommended approach to address the debt crisis...

One of my assignments questions is

What is your recommended approach to address the debt crisis in Europe?

Any help will be appreciated:)
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Answer #1

Eurobond was proposed as a revolutionary solution which can be used to finance at low-interest rate and also it is underwritten by all eurozone member states. thus will help a state in bailout debt solvency. Also, need to come out of pro-long deflation. A balanced way should be adopted between government intervention and free market system. Too much intervention is bad for smooth functioning of the economy. more flexibility should be given to labour market. Finally, European union should work on Banking union among member states and also to minimize bureaucracy.  

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