The first debt crisis in the eurozone was founded in 1999. As Samuel Britton emphasized, “Jason Manolopoulos clearly shows that the eurozone is far from the optimal currency area”.
Niall Ferguson also wrote in 2010 that “the debt crisis in developing countries is a financial crisis in the western world”. Axel Merck said in a 2011 article that the dollar was in greater danger than the euro.
The Greek economy was one of the fastest-growing in the euro area in the 2000s. From 2000 to 2007, it grew by 4.2% every year when foreign capital flooded the country. You can check various online sites to know more about rebuilding infected economies in Europe.
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The strong economy and falling bond yields have allowed the Greek government to overcome large structural deficits. The Greek right-wing newspaper, a large public deficit, is one of the features that characterize the Greek social model after the restoration of democracy in 1974.
After the abolition of the brutal right-wing military junta, the government wants to bring the left-wing of the bloodless population into the economic mainstream.
For this purpose, successive Greek governments tend to manage, among other things, large deficits to fund employment, pensions, and other social benefits in the public sector. Since 1993, debt to GDP has remained above 100%.
Currency devaluation initially contributed to loan financing. After the introduction of the euro in January 2001, Greece was initially able to borrow because of lower interest rates that could be managed by government bonds.
The financial crisis in late 2000, which began in 2007, had a very severe impact on Greece. Two of the largest industries in the country are tourism and shipping, both of which are heavily affected by the decline. In 2009 revenue decreased by 15%.