15 countries using the euro currency has been officially declared in recession in. Recessionary conditions are determined by reviewing the decline of economic growth in 2 successive quarter of the financial crisis and declining consumer price index.
EU statistical data published Friday (14/11) showed economic growth in the euro zone shrink 0.2 percent in the third quarter and the second when compared to the previous quarter. Negative economic growth in 2 successive quarter is the usual definition used to describe the condition of recession.
The two largest economies in the country euro zone - Germany and Italy - has been in recession. France is almost an escape from recession, economic growth is only 0.1 percent in the third quarter after the wane in the second quarter.
Sluggishness consumerism and tight credit have an impact on the decrease in sales of vehicles even though euro zone inflation is relatively stable after reaching a record high.
During the EU Executive Commission is not there to see the increase in unemployment in the euro zone. However, the EU Executive Commission estimates that number will be increased gradually in the coming few months.
This is the first recession since the euro currency was launched in 1999 when the European Central Bank to take over the interest rate. The last major recession that a number of European countries, held in 1993 when each individual country is unable to control monetary policy and take action to overcome the economic problems.
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