The Logic And Causes Of The European Debt Crisis

The Greece debt crisis taken place at the end of2009greatly shocked the whole world.Now two years later,we still can not see the end of the debt crisis.On the contrary,Because of the causes of contagion mechanism and the international capital,the Greece debt crisis swiftly evolved into the euro-zone periphery.Now,the Ireland、Italy、 Spain、Portugal and Cyprus, also grew out of the financial crisis situation, facing a serious risk of Sovereign debt crisis.The outbreak of a debt crisis in any country or region is an accumulative process, which has many factors from its deep reason to fuse. In order to solve the crisis, it is worth to study the main factors and to discuss logic structure in the European debt issue.In the past two years, many Chinese and foreign scholars has been studied European debt problems, and many scholars’ point of view still withstand test in these years, but it also has many scholars views have been out, the first ones are still provide important reference for the writing of this paper. In June2010, the author applied for Southwest University of Finance and Economy innovation talents funded:Causes of the Greece Debt Crisis.This paper mainly base on the study results, combining the situation of debt crisis in past two years and some new development trends and characteristics, by using combination of standard and empirical research methods, and refer to research results at home and abroad, to discusses the deep reason lure the debt crisis, and looking for some major factor, using the modified Minsky model to deduce the logic of the breakout of European debt crisis and simulate the forming path. At the end of this paper, the influence European debt crisis and the related countermeasures has been discussed...