European Debt Crisis
Economies have risen and fallen throughout history and many of the crashes we discuss here have had a devastating effect but the economy in question bounced back, however the financial crash of 2008, which we will discuss more later, is still influencing the worlds economy to this day. It exposed just how fiscally irresponsible some countries had been and how much crippling debt they had allowed themselves to accumulate.
This crash would come into full effect by 2011 and although it effected nations across the globe, five countries in particular would feel the full force of the crash, Greece, Ireland, Italy, Portugal, and Spain. All five, for various reasons, had failed to generate enough economic growth to pay back their mounting debts and defaulting on their payments to the bank who hold that debt was a real and frightening possibility.
This would cause many nations to move towards austerity, slashing expenses and raise taxes in an effort to stave off defaulting and totally crashing their economy. These drastic but ultimately necessary measures caused not only civil unrest in their respective countries but caused tensions between fiscally sound countries like Germany.
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