Monday, December 5, 2011
I read an article that pertained to the Eurozone Crisis on CNN.com. Standard and Poor's said Monday that it placed fifteen members of the euro currency union on review for possible downgrade as the debt crisis in the eurozone conitnues to worsen. The warning is applying to Germany, France, the Netherlands, Austria, and Finland. The review was prompted by their belief that sytematic stresses in the eurozone have risen in recent weeks to the extent that they now put downward pressure on the credit standing of the eurozone as a whole. There were five factors poitned out. They are: tightening credit conditions, rising yields on bonds issued by top rated soverigns, ongoing political deadlock over how to deal with the crisis, high levels of government and household debt, and the rising risk that Europe will suffer an economic recession next year. That being said, our current state here in the US is quite scary. What if we end up like the Eurozone? We are already in debt up to our you know whats! Let's hope that things will turn around over there and here for that matter.