The ongoing European financial crisis, elections in several major G8 countries, political instability in the Middle East, and volatile energy prices are just a few of the factors contributing to economic uncertainty. What are the key risks and opportunities for the global economy – in particular for major emerging economic powers – over the coming 12 to 18 months?
The problem is not that the debt is too large; but that the debt was evidently not created and used effectively enough.
No serious crisis prevention measures were taken this year.
This is a crisis of the traditional welfare state. It is impossible to get out of this crisis while saving the welfare state - which is what a significant part of Europe has been doing up to now.
Admittedly, the demographics, competitiveness and fiscal policy of Europe are inconsistent.