Causes Of The Euro-Zone Crisis Cover Image

Узроци кризе евро-зоне
Causes Of The Euro-Zone Crisis

Author(s): Dejan Živkov, Suzana Kolar
Subject(s): Economy
Published by: Универзитет у Нишу
Keywords: EMU; causes of debt crisis

Summary/Abstract: Having successfully overcome the global economic crisis from 2008, the Economic and Monetary Union (EMU) of the European Union is facing a new challenge - how to consolidate public finances and reduce public debt in some of the member states. Several factors led to the uncontrolled growth of public debt. The main objective of this paper is an empirical analysis and identification of the main causes of the current situation. It can be argued that some factors inherent in the EMU because of its imperfections, while others are more recent, but the point is that they are all connected and that together they caused the budget deficit that eventually turned into a public debt. The EMU now has the unenviable task - to find the best solution for overcoming the crisis, which will be for the mutual benefit of the EU and its members. However, no one can say whether it is on the right track or it will need to resort to more radical strategies.

  • Issue Year: 2013
  • Issue No: 03
  • Page Range: 1377-1396
  • Page Count: 20
  • Language: Serbian