Crisis of Confidence in the Eurozone

The HeraldAugust 05, 2011

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Summary


How much worse can it get? European Commission President Jose Manuel Barroso issued a stark warning yesterday that measures agreed on July 21 by the eurozone countries had failed to stem the spread of the debt crisis from Greece to other European economies. There were even concerns about Belgium but these are dwarfed by fears about Spain and most of all Italy.

Italy is suffering from a triple weakness: a very large debt (23% of all government debt within the eurozone); extremely low growth and unstable politics.

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Crisis of Confidence in the Eurozone

Italian Prime Minister Silvio Berlusconi's attempts to calm the markets with his "Crisis? What crisis?" speech on Wednesday...

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