How Will a Greek default affect the United States? Would a Greek default affect US markets and economy? What is the effect of a Greek default on Germany and Europe? First of all let’s start overseas and consider the effect of a Greek default on Germany and the rest of Europe, then work our way back to the US.

1. How Will a Greek
default affect the US

2. How Will a Greek default affect the US?
Would a Greek default affect United States
markets and economy?
What is the effect of a Greek default on
Germany and Europe? First of all let’s
start overseas and consider the effect of a
Greek default on Germany and the rest of
Europe, then work our way back to the
US.

3. If Greece defaults then it puts the
European Central Bank in real trouble, as
the European Central Bank is the owner of
many of the Greek government issued
bonds that will ultimately default.
Among many of its functions the ECB is
responsible for safeguarding and
supporting the euro currency, so a Greek
default would threaten the solvency of the
euro currency.

4. Now let’s take a look at how a Greek
default would and could affect Germany.
Germany has the unfortunate
responsibility of leading the charge in the
Greek bailout. It has put up a lot of money
and has convinced other countries in the
European Union to do the same just to
bail out Greece and also keep Greece in
the European Union.

5. Bear in mind that many of the richer
countries in the European Union are in
favor of expelling Greece and any other
country that threatens the solvency of
the euro currency.
So if Greece defaults then we can expect
to see some financial hardship in Germany
as well.

6. So how will a Greek default affect the
United States?

First off the United States is in the early
stages of a very fragile and very slow
economic recovery. A Greek default would
have an effect on the United States
economy by slowing down any economic
recovery that is underway.

7.  In order for the United States economy to
recover it needs the entire global market
to at least maintain its current rate of
growth.
This is basic knowledge for buying
European stocks for dummies. The impact
of a Greek default on the euro would
disrupt the global economy and as such it
would hurt the United States economy.

8. The extent to which it would hurt the
economy is somewhat unclear but
everyone agrees that Europe is a faithful
and friendly trading partner, and if they
do well then we do well. So for now
Greece is the next big thing, in terms of
the global economy and we can see the
effect of a Greek default on the rest of the
world. Find out the Greek default effect on
US here:
http://stocksfordummies.us/