Relationship Between The Debt Crisis And The European Social Welfare System

The financial crisis caused by subprime mortgage crisis still having effect, theEuropean country erupted the sovereignty debt crisis. The crisis occurs by Greece andspreads to European Union’s core member nation, there is no tendency of alleviation atpresent. Investigating the causes of the European sovereign debt crisis,many scholarshad thought that the excessive welfare system is the important reason of causing thiscrisis. However, some scholars doesn’t supported this view. Based on the foundationwhich combs to development of the European debt crisis and the Europe social welfaresystem, I analyze the relation of the European sovereign debt crisis and the Europesocial welfare system. I has analyzed the European debt crisis and the Europe socialwelfare system relations from the perspective of labor market institutions and thefinancial deficit. I describes the Europe social welfare system various patterns differentperformance by selecting the appropriate indicators, and analyze the reasons fordifferent performance, which reflects the relationship between the debt crisis and theEuropean social welfare system. This paper also analyzes the interaction between thedebt crisis and the European social welfare system. By analyse, I found that therelationship between the debt crisis and the European social welfare system chooses thevarious influence, such as the level of economic development, economic structure, labormarket policy and fiscal policy.