European Economies Continue Collapsing

Recession has now hit 11 European nations: Belgium, Czech Republic, Denmark, Greece, Ireland, Italy, Netherlands, Portugal, Slovenia, Spain and the United Kingdom, and the news grows worse.

For 2 1/2 years, the European Central Bank and other financial institutions have assured the world that the European financial crisis is under control and being solved, only to have time show us all that was not the case.

In Spain alone, the Euro Zone's 4th largest economy, unemployment just hit 24.4% (almost matching the U.S. 1930's Depression peak of 25%) and half their young people are jobless. As the situation continues to deteriorate, this is a formula for vast protests and economic disaster.

Europe's woes could be solved, but it requires candor and cooperation and bold action now! These European nations and more to follow need financial bailouts from all over the globe. The longer they wait, the more the pain and the bigger the bailouts will be necessary.

Economies everywhere are now inter-connected. None of us can logically believe what happens to our brethren won't happen to us. Think of it this way: Our neighbor's house is on fire. We can call the fire department and we can help the fire department to put out the fire, or we can do nothing and let the fire spread until the roaring flames engulf our homes and everyone else's. The choice is ours.

Dick
To learn more, please see "Europe, In Slump, Rethinks Austerity," The Wall Street Journal,  http://online.wsj.com/article/SB10001424052702304050304577375312057039088.html, "Austerity Addes to Spanish Jobless Woes," The Wall Street Journal, http://online.wsj.com/article/SB10001424052702304868004577373883501286626.html and "Spain Jobless Crisis Deepens: Rate Rises to 24.4%, Highest in Nearly Two Decades, Pressuring New Government," The Wall Street Journal, http://online.wsj.com/article/SB10001424052702304811304577369253280172124.html