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IPFS News Link • Economy - Economics USA
Are we on the verge of another Great Depression? Christian Lagarde, the
head of the IMF, said this week that if dramatic action is not taken
immediately we could actually see conditions “reminiscent of the 1930s
depression” and that no country on earth “will be immune to the
crisis”. Right now, financial panic is sweeping across Europe, but most
Americans are not too concerned about it because they simply don’t
understand how important the EU is. The truth is that the EU has a much
larger population than the United States does. The EU has an economy
that is nearly as large as the economies of the United States and China combined. The EU has more Fortune 500 companies that the United States does, and the banking system of Europe is
substantially larger than the banking system of the United States. Anyone out there that believes that a massive financial collapse in
Europe would not dramatically affect the rest of the globe is being
delusional. The European debt crisis is one of the biggest stories that
we have seen in a long, long time and the coming financial meltdown is
going to permanently change the global economy.
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