Introspective News

Here is a short clip from CNN on the big debt problem in Greece. Of course if the country of Greece fails then all of the world will be facing more issues than just the recession. The confidence to loan and spend has to go up before they can reach total recovery. The thing with big countries like Greece is they can get loans cheaply from smaller less powerful countries because their currency holds more strength. The reason their currency is stronger is because the market assumes that a big country such as Greece will do well. When it does not the consequences are enormous. The currency fails and the debt becomes a bigger problem then it was. For big countries like the U.S. a huge deficit is usually not a bad thing because it has many advantages including economic growth. The deficit in Greece does not yield the same type of fruits because it does not hold the same strength in their currency anymore. I hope for their swift recovery because not only is important to them but if their economy fails the repercussions will be great on the U.S. and in Europe.