Pages

Wednesday, January 31, 2018

Europe's Economy is Improving. Why?

2017 was the European Union's best since 2007 with a 2.5% growth rate. While news is good for the EU it does indicate an increasing confidence in the EU's political sustainability and economic prospects in general. It also shows that some of their debt crisis has passed and they are not free to focus on other agendas. The three main factors why this growth is occurring is below:

1.) Debt Crisis Handled: The debt crisis where Greece, Ireland, Portugal and Cyprus needed a bail out have been dealt with. While they will continue to be a drag on the EU economy they have a plan going forward and the immediate crisis is over.

2.) Global Trend of Growth: Global markets are changing, technology is innovating, and communication is connecting to create greater value for consumers. Demand is rising and people are buying more items. EU fits within a general global upward swing the same as the U.S., India and China.

3.) Global Adjustments: Major global adjustments such as ISIS and international conflict have temporarily subsided. Likewise, countries and their way of interacting and trading is become more settled and there is a level of trust in the global economic system.

No comments:

Post a Comment