The eurozone's combined debts are equal to about 93 percent of the region's gross domestic product this year and that figure is forecast to rise to peak at 94.5 percent next year.
The panic in European financial markets has eased in recent months largely because of aggressive action by the European Central Bank.
The ECB said on Sept. 6 that it was willing to buy unlimited amounts of government bonds issued by countries struggling to pay their debts.
The U.S. economy remains weak several years after actions by the Federal Reserve helped arrest its financial crisis.
Whether they got into trouble by overspending or after rescuing banks from a real-estate collapse, European governments are tackling their debts the same way:
By raising taxes and cutting spending, including wage cuts for public sector workers.
Wage cuts have weighed on family budgets, and people are saving more because they're worried about further economic shocks.
[...] in a September survey on global competitiveness by the World Economic Forum, Greece, Portugal, Spain and Italy ranked low because of poor access to financing and rigid labor markets.
The panic in European financial markets has eased in recent months largely because of aggressive action by the European Central Bank.
The ECB said on Sept. 6 that it was willing to buy unlimited amounts of government bonds issued by countries struggling to pay their debts.
The U.S. economy remains weak several years after actions by the Federal Reserve helped arrest its financial crisis.
Whether they got into trouble by overspending or after rescuing banks from a real-estate collapse, European governments are tackling their debts the same way:
By raising taxes and cutting spending, including wage cuts for public sector workers.
Wage cuts have weighed on family budgets, and people are saving more because they're worried about further economic shocks.
[...] in a September survey on global competitiveness by the World Economic Forum, Greece, Portugal, Spain and Italy ranked low because of poor access to financing and rigid labor markets.
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