Tuesday, 5 July 2011

America and Europe sinking together

http://www.ft.com/cms/s/0/8e68bc52-a671-11e0-ae9c-00144feabdc0.html#axzz1R6djX1y2



On both sides of the Atlantic, it is now clear that much of the economic growth of the pre-crisis years was driven by an unsustainable and dangerous boom in credit. In the US it was homeowners who were at the centre of the crisis; in Europe, it was entire countries like Greece and Italy that took advantage of low interest rates to borrow unsustainably.

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