To say that the eurozone crisis is, well, a crisis would be an understatement. Its collapse would put a halt on any economic progress that has been made over the past few years. With the election in Greece on Sunday pushing tensions to all new highs, world leaders need to find a solution and fine one fast. A meeting in Mexico next week may provide that solution.
According to Reuters, the G-20 Summit will be meeting in Los Cabos, Mexico to discuss the current economic crisis in Europe. It’s unfortunate as well since it looks like leaders will not make any progress on preventing the problems that caused the economic collapse in the first place. When it comes to problems like this, the first step is to fix the problem and then fix what caused it. Unfortunately, fixing this particular problem will probably be harder than anything that has come before it.
Besides a potential collapse of the Eurozone, the countries contained within it are causing problems among themselves by pointing fingers and yelling at each other. It was reported that Germany and France are now fighting each other over how to fix the economic crisis with Germany pushing for austerity measures while France pushes for economic growth. At this moment, both options seem a little far fetched and can only go so far.
Fortunately, there’s another meeting coming up soon that may yield better results than the expected turnout next week. The European Union will hold a summit later this month where the leaders within the EU will discuss how to contain the debt crisis. The talk going around the members of the G-20 seem to indicate next week’s meeting will only be used to set up discussions at the EU summit later this month according to aides speaking to Reuters.
It should be noted that Americans have a lot at stake in these talks as well. It would be in the citizen’s best interest to pay attention to the G-20 Summit next week and see what comes out of it. Whatever happens in Europe will indirectly affect us here in the U.S. including our beloved tech economy. If you thought the Facebook IPO, just wait to see as everybody’s market value gets kicked in the teeth if the Eurozone were to collapse.
We all have a stake in this, including those of us in tech, so we’ll continue to watch this story as it develops. It will be interesting to see how Greece votes on Sunday. It could set Europe on the road to recovery or send it spiraling even more downward.