Why The Eurozone Crisis Is Not Over
It’s been six years, and we are still seeing the repercussions from the European Debt Crisis. There was a period of relative stability, but its possible the worst is yet to come.
Just hours ago, it was reported that the Greeks were preparing for a potential default if credit talks fail. It was then denied shortly after. So what’s the latest on the Eurozone? Today’s infographic tackles some of the most recent statistics out of Europe.
The Eurozone unemployment rate is currently 11.2%, which is much higher than those of the United States (5.7%) or Japan (3.6%). The unemployment of youth is one of the most dogging statistics with youth in Spain (50.9%), Greece (50.6%), Croatia (44.1%), and Italy (41.2%) lacking jobs. Those that are employed are having slow wage growth with compensation per employee increasing only 0.35% from Q2 to Q3 of 2014.
There are also challenges with migration and demographics. In 2013, net immigration to Germany totaled 437,000 people, which is the most since 1993. One study found that more than 120,000 Greek professionals (doctors, engineers, scientists) moved away from Greece since 2010. Apart from people moving around, they are also aging as a population. By 2030, the number of working age people will decrease by 7 million while the number of people reaching retirement age will increase by 5 million.
Original graphic from: Boston University
