Spending Money to Make Money: The Path Away From The Eurozone Debt Crisis

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The European countries most affected by debt problems – Spain, Greece and Italy – all had a very low level of investment in research and development. Because of the economic mismanagement exhibited by previous governments, all 3 have new regime that will have the more conservative polices deemed more appropriate for this period of austerity.  That’s seems like a sensible approach – to hold what you have until the crisis is averted.  But in a case where the crisis is was largely due to problems within the countries, the government must take positive steps towards a solution. If the new regimes don’t want to rely on blind luck they must invest in research and development, as forward thinking is essential in the quest to become debt free and economically viable.

The transparency of academic recruitment that will be implemented by the new governments should ensure the hiring of candidates of the highest quality, a move that should lead to enhanced research and development.  Measures that enhance research and development programmes will benefit these countries, and by association the entire Eurozone. If Europe and the U.S.A. are to keep pace with the demands of a changing world, they must continue to innovate with new ideas and processes.

It is hard for North American and European countries to compete with nations such as Brazil and China in terms of wage expectations; in a global economy it is more feasible to move manufacturing bases than such a thing would have been perhaps 30 years ago. They must offer a superior workforce to entice lost investment and new business.  Helping their citizens to gain new skills will allow them the chance to earn the jobs they want.