Greece Economic Crisis

Current Event: Grace's Economic Crisis The macro economic environment has critical implications for corporate finance. The current economic crisis in Greece is having profound affects not only on the government and companies in Greece and Europe, but across the globe from the United States to Japan. Largely as a result of Grace's massive public debt, the Euro has fallen 4. 8% against the US Dollar and 7. 9% against the Japanese Yen. There are growing concerns that the mounting crisis…...

However, besides Greece, there are other European countries also belonging to European Union; face a similar problem, such as Portugal, Ireland, Italy and Spain. Therefore, Greece’s debt crisis also triggers a European crisis. As the three companies lowered Greece’s credit rating the cost of their debt was on an upward trend. Consequently, Greece initiated an austerity program, the austerity measure resulted mass demonstrations. Background It all started in 2001, when Greece joined the European Union, Greece’s deficit at the time…...