The Silver Lining in the Depressing Global Economic Situation
There have been a lot of theories concerning the actual cause of the economic recession of 2007 and 2009 such as real estate problems and growing debts, among so many others. Six years later, the United States and numerous countries in the European Union are gradually recovering from it.
General Prospects of Economic Improvement
Unfortunately, it would still take some time and real ingeniousness on the part of these country’s economists for an actual upturn. This year, financial analysts think that the global economic growth will be held back. This is the case despite the fact that there are already positive financial conditions in certain nations.
Things would look a whole lot better in 2014, but this will still be slow. Here are some of the more specific economic prospects in specific countries and regions in the world.
The United States
In this country, the root cause of the economic crisis is housing. A lot of people got used to living beyond their means and wasting a lot in the process. If they really want to escape this situation, they will need to change their mentality completely.
For example, people should not rely on their social security for their primary source of income once they have retired. It’s not meant for that but for some reason, they do this. They should also stop looking to the government (all the time) when they are in financial trouble. This dependency is crippling the economy and the whole country.
It would seem that China is a huge economic power now but analysts say that it is at risk of a housing problem that will make that of the US’s seem like nothing. Apart from that, the Chinese people are becoming more vocal these days and they are starting to question the government’s abilities and leadership.
Political turmoil may cause a lot of problems including a large economic upheaval. The economic rise of China is amazing but the fall may be real painful.
The European Union
If you have been watching the news, you will see that the EU is experiencing a lot of problems right now. Greece may always be on the headlines when it comes to unpaid debts and increased unemployment rates but the country is not alone.
Spain, Portugal, and even France are all experiencing this right now and the rest of the Eurozone are being affected as well. Even countries like Germany and Norway, which are doing quite well in terms of their finances, may get pulled down by the rest.
Learn more about the Economic System: http://en.wikipedia.org/wiki/Economic_system