Political Economy – Two Topics

Political Economy – Two Topics

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A debt crisis can be defined as procreation of enormous public debt which is about tax revenues mostly in Latin American countries during the 1980s, United States, and the European Union for nearly decade now. The paper elaborates on the main topics related to the political economy such as The Debt Crisis the European Central Bank’s Role of Lender of Last Resort. Also, financial market diversity and macroeconomic stability. In 2015 China also faced debt crises which lead to concerns of economic stability throughout the world. Moreover, Europe debt crisis has severely affected Eurozone countries for eight years now. The European Union central bank has played an essential role as lender of last resort for many countries that faced debt crisis due to economic bubble in 2008.

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