Crisis, Response and Innovation in Europe
Global Financial Crisis: Global Impact and Solutions, Forthcoming
Posted: 23 Jul 2010
There are 2 versions of this paper
Date Written: July 21, 2010
Abstract
The close economic ties between Europe and the United States and the City of London’s crucial global monetary and financial role were the conduits for the lightning-fast spread of the crisis triggered by the sub-prime mortgage defaults in the U.S. and the consequent fall in global real aggregate demand. The effects of this twofold crisis differed among euro area countries, among non-euro European Union countries, and among such neighbouring non-members as Turkey and Russia. The differences appear to have been sharpest in the euro group.
Keywords: euro, subprime crisis, De Larosiere report, derivatives
JEL Classification: E52, E61, F42
Suggested Citation: Suggested Citation