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Evaluate the Approaches to Improve the Low Effectiveness of the Euro Emergency Mechanism

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Evaluate the Approaches to Improve the Low Effectiveness of the Euro Emergency Mechanism
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Evaluate the Approaches to Improve the Low Effectiveness of the Euro Emergency Mechanism

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Written by
JINGJING LI (AccFin 5)

Directed by
Jean Sherratt

August 2012

University of Glasgow Language Centre EFL Unit

CONTENTS

ABSTACT

INTRODUTION......................................................................................................1

2. CAUSES OF THE LOW EFFECTIVENESS........................................................1

3. SOLUTION ONE: THE EMF.................................................................................1 3.1. WHAT ARE THE EMF AND EFSF?..............................................................1 3.2. ADVANTAGES OF THE EMF.......................................................................2

4. ANOTHER APPROACH: EUROBONDS............................................................3

CONCLUSION........................................................................................................4

REFERENCE...............................................................................................................5

ABSTRACT

Currently, the whole euro zone countries still are traped in Euro Crisis. this situation tells us that it is necessary and urgent to improve euro emergency mechanism to cope with this crisis. Some approaches are introduced and, among them ,the EMF and Eurobonds attract most attentions. Both the EMF and Eurobonds are proposed idea which need to be discussed. Knowing their advantages and drawbacks is quite important before making decisions. The purpose of this essay is to analyze the main reason of low effectiveness of the euro mechanism and critically evaluate these two solutions and discuss the prospects for the future.

Evaluate the Approaches to Improve the Low Effectiveness of the Euro Emergency Mechanism

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