The Guardian has a special report on the European crisis. As this crisis comes to a head, and it is doing so very quickly, it might be useful to understand the implications.
The report asks and answers the following questions:
1. Can a country leave the euro?
2. What would be the likely trigger for a country leaving the euro?
3. Could a country default and stay within the euro?
4. Would an exit by one country (such as Greece) cause others to leave the euro?
5. Which countries would be most likely to stay in the euro, and which would be most likely to leave?
6. What would be the immediate economic and financial consequences for countries leaving the
7. And for the countries that stayed?
8. What would be the impact on global financial markets?
9. What would be the impact on the euro in relation to global currencies?
10. Would a global recession be inevitable if the euro collapsed?
11. What would happen to banks in countries that left the euro?
12. Could private debt in euros be enforced?
13. What would happen to sovereign debt?
14. Could EU internal market rules be maintained?
15. Would countries that exited the euro remain in the EU?
16. What levels of social and political upheaval would be expected?
17. What should businesses do now?