THE CAUSES OF THE EUROZONE CRISIS

The present research aims to present and analyze the causes that led to the crisis in the Eurozone. The 2008 financial crisis revealed the weaknesses, the chronic problems and the differences which were lurking and emerged between the member states. The disparities of the economies combined with asymmetric monetary policy and political failures of member states exacerbated the problem resulting in the loss of credibility of some member states. The most vulnerable countries were those which are facing chronic debt problems and those which have directly affected by the financial crisis. The data for this investigation were collected from the databases of Eurostat and the European Central Bank. Finally, the present research concludes that the Eurozone crisis could be avoidable if the right moves have been made before the crisis and if there was a common stance for the beginning in order to tackle the problem