There are many examples of the economic troubles in the United States. The Occupy Wall Street movement, the housing market, the unemployment numbers, but we are not alone in this way. Europe is feeling the same effects we are, and in places like Spain, Greece, and Italy, it is even worse.
European economies that are strong like Germany and Norway have been trying to sort out the problems and solve these issues, but it hasn’t gone as planned. The countries have resisted the changes. In Greece for example, there were riots when a bill Germany had suggested failed that would have risen the retirement age from 55 to 65, which would have created more jobs, decreased retirement checks, and provide more money towards the GDP.
Greece isn’t the only country facing large debts. Italy and Spain are in even worse economic trouble, with similar problems the United States has, but more severe, with riots in these countries becoming a norm. The problems are fairly generic; people want to save their money instead of spending it back towards things that could benefit the economy, unemployment, and the conflict of how much can be taxed without overtaxing?
It’s not that the countries in economic trouble are doing nothing to fight against the rising debt. Both Italy and Greece have had their Prime Ministers replaced, and this is promising. It can’t be ignored, however, that with the increasing debt is going to be a large hill to climb, and especially with some of the governments panicking and increasing the taxes to an incredibly high rate.
How does this affect us and the Unites States? Especially now, the economy is more global than ever, with countries trading with other countries not just locally, but all over the world. Instead of bad news in Europe hurting the Europe stock market, it hurts the stock markets all over the world, and it works vice versa. The more one country is hurting, the more that countries worldwide feel the affects.
There is promising news, though. The US stock market has been rising recently because of the good news of the new administrations taking over in Europe, and what people think they can bring to the table. They do realize that they do have a long ways to go to recover from their weak economies, but that is a good thing.
People constantly worry about the economy, and what people often forget to recognize is that this has happened before. Every economic graph is going to have dips and high points. Right now, we happen to be in a dip, but we have to remember that the countries in worse shape than us in Europe have gotten out of worse situations than they are in now.
Things are constantly changing. It seems like every day something new happens, and the whole event has been like a roller coaster ride, with things happening that don’t make sense, whether out of greed, trying to remain popular among the people, or just making an incorrect choice. In these politics, unpredictability is regular.