December 1, 2010
Violence in Europe over spreading economic problems
Wall Street Journal article by Marcus Walker and Brian Blackstone about the violence in Europe over the euro destabilizing and the general ills of a collapsed economic situation, proving Greece was a preview for a dilemma that afflicts many countries throughout the eurozone. Bad news for anyone wanting to keep the euro healthy:
"Particularly worrying to Europe's leaders are early signs the market turmoil is spilling into countries thought to be less at risk: Italy and Belgium. "Tension is very high, in part because the market has already raided three countries," said Luca Cazzulani, deputy head of fixed-income strategy at Italy's Unicredit bank.
Economists generally agree Europe's current bailout fund is sufficient to rescue Spain, should that be necessary. But if Italy, Europe's third-largest economy, teetered, a rescue would test both Europe's economic resources and the will of healthier countries such as Germany to shoulder the costs.
Italy is faring better economically than some neighbors and its budget deficit is among the lowest in the euro zone. But Italy also has the region's second-largest debt burden, and half of it is financed abroad."
Related
Greece's Golden Visa program
