(20 points) Why were bailouts alone insufficient? Can the Eurozone Survive? Between late 2009 and early 2013, separate fiscal and debt crisis in several member states of the Eurozone, the common currency area composed of European Union (EU) members that had replaced their national currencies (e

Several European countries defaulted on repayment of their government debts or to bail out much indebted banks with supervision of government without any assistance or help of third parties.
The bailout loan was taken by 5 countries mainly. They are Greece Portugal Ireland cryprus and Spain. They were under crisis with intense points where the existence of survival of the Euro zone where in dilemma. When IMF bailout a country it expects that the country would implement proper steps for dedicating for the dept accumulation and repay the previous or past debts. This indicate increase in taxes for revenues and decrease in spending. A provision of help by financing to a country is called bailout. These cuts the situation when the European sovereignty was in a debt crisis. There was collapse of various Financial institutions all over many European countries.girlfriends of those countries where in hai death bond yields were very high specially in government securities. The CVR structural deficit slow progress of economy led to the eurozone crisis. Also there included many other complex factors and heavy borrowing practices. Mainly the crisis in the balance of payments give birth to the eurozone crisis. It was inaugurated in late 2009 by the Greek government disclosure about their deficit in budget.a comeback to the economic growth and improvement in the structural deficit helped to countries to escape The bailout. They are Ireland and Portugal in July 2014. Also Greece and Cyprus managed to resettle there economy.Euro zone was helped to survive again by different policies. Banks were given loan directly and various banking regulations were reformed. More investment were encouraged and austerity was lowered. Competition domestic as well as internationally both increased. There was a devaluation on fiscal terms. Also current account imbalances were rectified. Credit mobilization was enhanced.