Response to Preliminary Research on the Financial Circumstances in the EU

Finances and the Economy: My Focus on the Rise and Fall of the Euro

For a few consecutive summers during high school, I was fortunate enough to have had the opportunity to travel abroad to Europe.  During the year leading up to each trip, I babysat and took up odd-end jobs to save up some “spending money.”  By the end of every school year, I would feel so proud of myself for having saved such a substantial amount of money.  But what I would always forget about the USD was its meager might in comparison to the strength of the Euro.  While in Europe, I’d buy fancy clothes and many meals with my hard-earned cash, and realize later that I’d been spending almost twice as much in USD than I would be spending in Euros.  The exchange rate was a killer.

            After years of going through this process, the Euro has finally fallen.  But, of course, I no longer spend my summers in Barcelona - just my luck that the Euro has weakened during a time when I can no longer benefit from it.  I have, however, gained a breadth of knowledge on the logistics of the European economy, as well as the interconnectedness of the U.S.’s economy with Europe’s.  One of my favorite characteristics of the economy as a concept is its ability to unite the world.  The fact that one country’s respective economy can completely alter that of another’s is just fascinating.

            What I’ve been focusing on for my research, if I hadn’t articulated myself well enough thus far, is the rise and fall of the Euro.  I’ve been reading about instances that have been affecting it (both positively and negatively), and how it stands against the economies of other countries around the world.  One recent article I’ve read about the matter, written by Peter Granham, is titled; “Euro Suffers After French Banks’ Downgrades.”  In it, Granham wrote; “The euro bounced back from a seven-month low against the dollar on Wednesday after announcements of fresh plans by eurozone to hold the single currency together.  However, concerns over eurozone banks deepened and data raised worries over the region’s economy.”  This report informed me of both an aspect of the circumstances of the European economy that proved to be positive for the Euro, and also suggested that the Euro might again weaken shortly.  The article, which I read in the Financial Times, is an example of the kinds of articles that will assist me with my research on the rise and fall of the Euro.