Question

describe the European debt crisis

Answer 1

The Euro Zone emergency is a multiyear obligation emergency that has been occurring in the European Union since the finish of 2009. Amid the credit crunch, numerous business European banks lost cash on their presentation to terrible obligations in US. The credit crunch caused a fall in bank loaning and venture which caused a genuine subsidence which likewise prompted a fall in European house costs which expanded the misfortunes of numerous European banks.

As the crisis has developed, he loss of confidence in the countries affected has led to rises in the bond yields required on their government debt. Given the amount of debt their governments have, bond yields can quickly achieve a level at which the government can no longer afford to service their debt.