Monday, October 13, 2008

Current Event #3

While America has been facing a major crisis at home, the world has been following in this series of unfortunate events. The same weekend after the bailout plan was passed in Congress, European countries finally decided on how they would go about solving their own economic crisis. The European banking and financial institutions were headed in a downhill spiral, and debates had been ongoing for weeks over whether the counties should initiate a group rescue plan, or if every country should solve its own problems. Representatives from France and Germany strongly felt that each country's banking system had different needs, and therefore each country needed to instate different rescue plans to account for the different problems. That was the final decision last week, as Europe agreed to tackle its financial crisis in their own ways. This is good in some ways, and mathmatically at least some of the institutions should revive for other failed banks to fall back on; but in another way it is harder for the smaller European nations to devise a large scale rescue plan for their banks without the help of their larger neighbors. In the comming weeks we will see how this agreement plays out.

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