Contents of the volume

2018, Volume 71 - Issue 3

ISSN: 2499-8265
RSS feed citation: At RePEc
Publication date: 03 August 2018

THE FUTURE OF EUROPE: ECONOMIC AND SOCIAL PROSPECTS

Amedeo Amato

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IL FUTURO DELL'EUROPA: PROSPETTIVE ECONOMICHE E SOCIALI - WELCOME ADDRESS

Paolo Odone

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EUROPE'S FUTURE: ECONOMIC AND SOCIAL PROSPECTS

Angelo Bagnasco

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EUROPE'S FUTURE AT THE CROSSROADS: THE CHALLENGE OF IMMIGRATION

Stefano Stefanini

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WHY A EUROZONE COLLAPSE SHOULD NOT BE A SURPRISE: THE ROLE OF GERMANY AND GREECE

George Zestos, Morgan H. Simmons

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FINANCIAL CRISIS, BANKING SECTOR PERFORMANCE AND ECONOMIC GROWTH IN THE EUROPEAN UNION

Cândida Ferreira

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FIXING THE EUROZONE SETUP: ON VIABLE FORMS OF FISCAL UNION

Luca Gandullia, Franco Praussello

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AMONG THE CENTRAL AND EASTERN EUROPEAN COUNTRIES OF THE EUROPEAN UNION, WHO GAINED AND WHO LOST?

Miroslav N. Jovanovic, Jelena Damnjanovic, Jovan Njegic

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THE EXCHANGE RATE REGIME SWITCH AND CURRENT ACCOUNT IN GREECE, 1976-2014

Alexi Thompson, Henry Thompson

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Genoa Chamber of Commerce
Economia Internazionale / International Economics

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Corresponding author

George ZESTOS, Department of Economics, Christopher Newport University, Newport News, USA

Co-authors

Morgan H. SIMMONS, Department of Economics, Christopher Newport University, Newport News, USA

Why a Eurozone Collapse should not be a Surprise: The Role of Germany and Greece

Pages

227-256

Abstract

The US subprime mortgage crisis of 2007-2009 spread to Europe, where it morphed into the Eurocrisis, or the European Sovereign Debt Crisis. Total recovery from the Eurocrisis is still not imminent, and a collapse of the Eurozone and even the EU is possible. Austerity is widely accepted as a major reason for prolonging the financial crisis in the Eurozone. Such austerity was primarily imposed on the Eurozone members by Germany and its northern allies. In addition to the financial crisis, a geopolitical crisis has also emerged. Much dissent towards the handling of both of these crises exists in the EU, leading to a rise of Euroscepticism, nationalism, and anti-EU populist political parties. This paper explores how different scenarios could evolve into the breakup of the EMU or a possible recovery from the Eurocrisis.

JEL classification

F15, F34, F36, F45

Keywords

Eurocrisis, European Sovereign Debt Crisis, Monetary Policy, Fiscal Policy, Austerity, Eurozone Breakup

Index

  1. Introduction
  2. Brief history of the European sovereign debt crisis (Eurocrisis)
  3. The 1992-1993 ERM-EMS crisis
  4. Germany as the cause of the Eurocrisis
  5. The European Central Bank (ECB) versus the Bundesbank
  6. An EU official raises criticism
  7. IMF participation
  8. European national elections
  9. Celebrating the 60th anniversary of the Treaty of Rome
  10. The last scenario for Greece
  11. Recent political developments in Germany
  12. Concluding comments

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