歐債危機英文版課件

1、EUROPEAN DEBT CRISIS- 熊慧楠- 陳辰- 魏永雙- 喬小桐- 崔肖娜- 裴婷婷 金融五班RUROPEAN DEBT CRISISphenonmenoncausessuggestionsSumming-upLots of shops were at risk of closure youth unemployment in Europe continues to riseThe volume of exports were falling in chinastartThe Euro zone sovereign debt crisis broke out in late 20

2、09 as some conservative investors began worrying about European states ability to pay, and reached the peak in early 2010. 1、property bubble were transferred to sovereign debt2、banking system bailouts and government responses to slowing economies post-bubbleThe European sovereign debt crisis begins

3、in Greece,and later spread to Italy ，Portugal, and Spain.GreeceItaly IrelandPotugalSpain（PIIGSthe five countries above is also called PIIGS, which have the most risky governmental debt ）spreadCauses AnalysisEuro Zone Policy SystemLarge Budget Deficit2008 Global Financial Crisis Institutional defect

4、of Euro Zonethe duality of fiscal and monetary policythe layer of decision-making mechanismEuro Zone Policy SystemHuge Gap in Euro Zone Huge gap in regard to the volume of the economy exist between large countries and small countries ,such as exchange rate and interest rate. Euro Zone Policy System1

5、0-year government bond interest rate spread between five countries and GermanEuro Zone Policy SystemEuro Zone Policy SystemUndesirable Regulation of Euro ZoneHiding Real Debt Amount Regulation of government spendingLarge Budget DeficitOver-using debt financing for development of economics and keepin

6、g high quality of life make these countries face high default exposures.Large Budget Deficit 2008 Global Financial Crisis Short-Term suggestions1).bailout package2).debt write-off and restructuringLong-term suggestions1).integration of euro zone2).regulation of government debt3).economic growthSugge

7、stionShort-Term suggestions1).bailout package2).debt write-off and restructuring The European Central Bank and IMF should offer bailout package to the countries in serious sovereign debt trouble like Greece and Ireland. Long-term suggestions1).integration of euro zone The Euro zone should rebuild it

8、s fiscal system, which would coordinate the fiscal policy in each country soundly. 2).regulation of government debt The Euro zone should strengthen the regulation of government fiscal deficit. 3).economic growthThe real solution to the debt crisis is economic growth. WHAT PART DID CHINA PLAY IN EURO

9、PEAN DEBT CRISIS?Chinas Foreign Ministry and Ministry of Commerce both expressed support for the beleaguered euro zone.First, China bought more bonds from multilateral institutions, including euro bonds.(EFSF)Second, China encouraged domestic enterprises to expand in EuropeThird, China increased the

10、 weight of the euro in the RMBs currency basket.Steps of the euro crisis24Cheap creditHigher spendingMounting debt Spending cutsHigher unemployment25Did the austerity and endless series of emergency meetings make a difference brutal adjustments a massive write down of public debt economists are caught up in some fierce arguments over the issue26ORThere is a long way to gogood newsbad news1.both consumer and business confidence is falling