The monetary policy was supposed to get everything into normal again, one of the most im-portant things the policy wanted to do was to low the interest rate near zero, however, the Fed-eral Reserve has increased the rates of interest. In Europe there are others banks that are ex-panding the quantitative easing program, which will help to low the interest rate and to increase the money offer, also the Bank of Japan is expecting pick up the pace of its monetary easing.
On the other hand, the emerging economies are tightening more than cutting- except China, which has been focused on cutting- this reflects the worried about the economic growth around the world, for that reason de IMF is applying cuts to developing and advanced economies be-cause …show more content…
This year they have elections, where the radical left party – Syriza- won, which shows that the country have been damage because of the economical situation for that reason thy claimed they would need 25 million euros to undone the damage.
However, is the European Central Bank the one that will determined how much money Greece will need to overcome this situation, therefore, they did an exhaustive evaluation of the four Greek’s banks, which dominate the economy of the country, and the results of this evaluations where that the money needed is less – 4,4 million euros for each bank - that they have expect en principles of July, this happened because they estimated that the GDP will decreased next year and increased in 2017, so the capital shortfall would be €14.4 …show more content…
This arguments are directed to the gov-ernments that are applying an austerity policies, which involves to increases the governments taxes and spend less, but and effect of this kind of policies could be the slow the economy and making the tax receipts lower than expected; this is called de “ paradox of
On the other hand, the emerging economies are tightening more than cutting- except China, which has been focused on cutting- this reflects the worried about the economic growth around the world, for that reason de IMF is applying cuts to developing and advanced economies be-cause …show more content…
This year they have elections, where the radical left party – Syriza- won, which shows that the country have been damage because of the economical situation for that reason thy claimed they would need 25 million euros to undone the damage.
However, is the European Central Bank the one that will determined how much money Greece will need to overcome this situation, therefore, they did an exhaustive evaluation of the four Greek’s banks, which dominate the economy of the country, and the results of this evaluations where that the money needed is less – 4,4 million euros for each bank - that they have expect en principles of July, this happened because they estimated that the GDP will decreased next year and increased in 2017, so the capital shortfall would be €14.4 …show more content…
This arguments are directed to the gov-ernments that are applying an austerity policies, which involves to increases the governments taxes and spend less, but and effect of this kind of policies could be the slow the economy and making the tax receipts lower than expected; this is called de “ paradox of