Greek/World economic crisis and Eurozone & its currency

• Barbara Kate 2415• Vasileios Bletsas 2471• Vasiliki Boulogeorgou 2473• Theodoros Tsiaousis 2542

Contents

• Introduction• Greek crisis • Effects of Greek economic crisis• About Eurozone• Greece in Eurozone• The image of the Eurozone to Greeks• Advantages and disadvantages of the euro• The future of the euro

What is economic crisis? Is the phenomenon which can lead an economy away

from the equilibrium and turn down the indicators of economic development.

Greek crisis

It started in 2010 when the budget deficit was higher than the previous year.

Effects Of Greek Crisis

• Unemployment• Immigration• Postponement of investments• Deterioration of living• Insecurity and uncertainty about the future• Psychological disorders

Eurozone• The official establishment was in 1993.• The reasons which led to the establishment was mainly

economic, political, social and cultural. • Consists of 18 countries.• It is considered the strongest union states worldwide until

today.

Greece in Eurozone• Joined the EU in 1999.• In 2002 drachma was replaced by the euro.

The image of the Eurozone to Greeks

Advantages of Euro• Avoid exchange rate.• Facilitating trade in goods and services.• Feeling protection.• Increased competition.

Disadvantages of Euro• Inability of monetary policy.• Cost of transitioning to a single currency.• The time spent on adapting to the new currency.

The future of the euro

The objective of monetary union was to create European economies which would be substantially similar. That did not work because some countries have failed to comply and raised doubts about the survival of the euro. Only time will tell if the European Union succeed!

Thank you for your attention!