A Looming Disaster: Europe -- Robert J. Samuelson, NewsweekAs a nation reels from an earthquake’s destruction, an entire continent faces an economic crisis of its own.
While the world has been transfixed with Japan, Europe has been struggling to avoid another financial crisis. On any Richter scale of economic threats, this may ultimately count more than Japan’s grim tragedy. One reason is size. Europe represents about 20 percent of the world economy; Japan’s share is about 6 percent. Another is that Japan may recover faster than is now imagined; that happened after the 1995 Kobe earthquake. But it’s hard to discuss the “world economic crisis” in the past tense as long as Europe’s debt problem festers—and it does.
Read more ....
Update #1: Political clashes threaten to derail EU rescue -- CTV News
Update #2: Investors fear default in Europe -- Financial Times
My Comment: I have always commented on how a (deep and disastrous) financial crisis can cause more harm than a 9/11 or any other major terrorist attack. The buildings will still be there, the trains will run on time, shops will open their doors for business .... but a financial crisis will leave millions broke and destitute .... their financial world completely destroyed .... and any government assistance minuscule in comparison to the problem that it must face.
Is this Europe's fate? We will have a good idea this week.
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