European Union Forums

[Admin]

This is a hot topic at the moment, so lets discuss the subject.

[Benn]

The first and foremost cause, I think, is the indifference showed by American economy against the world economy. Americans knew that their dollar is "inflated", but no, they kept issuing it, so it reached to have no value at all.

[Terry]

The consequences are already felt allover America and Europe. Loans are not anymore issued in the way they were issued before. Interest rates are reducing in order that loans become available for everyone.

[Faw_Peter]

The most essential consequence is the increase of the unemployed number. People look for jobs, while they are almost unavailable even for very good and skilled specialists.

[M.Helen]

The consequence appeared as far back as two years ago, when America felt the burden of mortgage problem. It leaded to what we have today: in US only very few can be accepted for receiving mortgage credit.

[Steven]

Some specialists in economy believe that the US real estate and credit crisis was determined by too much and incorrect government intervention in U.S. economy and it was absolutely not the fault of free market.

[Benn]

The world crisis is mostly the result of the adoption of worldwide free trade policies and agreements. If Europe wasn't so attached to the US by these agreements, the crisis in our area could have been avoided, or at least it would be that tough.

[Terry]

Benn, Europe needed US as a market, just the way US needed Europe. It's cooperation, and it's natural.
As a consequence of the economic crisis, I see it might be possible that the dollar will get ruined in a couple of years, the crisis has already launched this process.

[Nathan]

I think one of the causes is that governments have separated too much from the financial system. They let companies and banks do whatever they want, without controlling them. The conjuncture simply couldn't resist, so it broke down.

[Riser]

I think one of the causes is that governments have separated too much from the financial system. They let companies and banks do whatever they want, without controlling them. The conjuncture simply couldn't resist, so it broke down.

This is what actually a market-based economy means. It stands for no governmental interference within the economic/business activity. Is this a hint we have to pass to planned economy?

[M.Helen]

I find the crisis great for environment protection. The reduction of life level means less consumption. Maybe soon America will cease being the most consuming country in the world. Much resources are going to be saved due to the crisis.

[Benn]

I find the crisis great for environment protection. The reduction of life level means less consumption. Maybe soon America will cease being the most consuming country in the world. Much resources are going to be saved due to the crisis.

Helen, it will mean a complete end and destruction of the Chinese economy. China won't have places to where to export its products. Another consequence is that a lot and a lot of merging and acquisition will take place in the world business.

[ferms1]

Greed Greed Greed by the few to control the many with less regulations and less government.

[Steven]

Greed Greed Greed by the few to control the many with less regulations and less government.

True. This is what a totally market economy means. In my opinion, once a corporation reaches turnovers of billions and billions, so that it makes the state's economy in some way dependend on giant amounts of taxes, then the state must take the company under indirect control by, for example, assessing once a year its creditorial status.

[Laurentine]

European rules stand for the fact that in case companies it takes place a transaction which assets value above 5 billion dollars, then the transaction is controlled by government representatives, since big money laundering and tax evasions can happen here.

[Benn]

I was surprised to hear that even google suffered about 25% of its revenues from advertising because of the crisis. Advertising is among the first fields that suffered from the crisis.

[tricker]

As far back as October, previous year, Yahoo laid off 10% of its workforce. Taking into consideration that its employees make up about 15,000 people, they fired 1,500-2,000 people.