The Greek challenge for European economic integration Dissertation

The Greek challenge for European economic integration - Dissertation Example The paper scrutinizes the likely economic effects to individual European nations as a result of the exit of the Greek nation with the burden of the debts incurred with entry into the euro zone and the use of the Euro as a result. Introduction Economic integration among countries involves the countries joining hands to achieve one economic goal. When countries integrate economically they benefit in the increased revenue as a result of the reduction of the trade tariffs. The reverse is true for the countries not in economic integration as such countries will suffer high trade tariffs set by their counterparts that will in the long run make trade expensive and not easy to run. Economic integration involves countries making their counterparts easier to trade with. This involves coming up with a common currency akin to the Euro that is used by the states in the European Union as a form of currency. The countries can also make trade between them easier by providing goods and service needed by the one country say x in exchange for what the other country say y produces and is needed by x. The main concepts of economic integration include the following. ... It was originally formed by six countries that are Netherlands, Luxembourg, Belgium, Italy, Germany and France. Currently the union boasts a list of 27 members after entry of other European countries over the years. The idea to come together as united nation was informed by the following. To help rebuild each other after the economic destruction occasioned by the World War 2. This was also meant to foster peace and stability in the European countries through economic development as economic instability was perceived to bring about political instability through support of growth of extremists in facism and communism. This was informed by the breaches done during the world war and efforts to heal the wounds so caused as a result. Further the integration was meant to foster bilateral ties between the European nations. In addition the intergration was meant to bring unity between east and west Europe that was separated and to counter threat from the Soviet Union. After the formation of t he European Union, countries in the union decided to come up with a common currency to facilitate trade between the member nations in the bloc. With the use of a common currency the countries are able to carry out trade efficiently and the transactions are effective. The Greek nation Greece is a member state of the European economic integration. It is said to have joined the euro zone in the year 2001. Initially, the union was only meant for the country in the higher upper end like Germany and France as opposed to the countries in t he periphery like Greek. The country however, managed to convince the members of the euro zone for it to be considered into the integration. This Greek nation thought will help prosper it economic growth with the