IDEAS home Printed from
   My bibliography  Save this article

Sovereign Debt Crisis in the Eurozone– Towards an Inevitable Reforming of the Euro Institutions


  • Maria Halep

    () (The Academy of Economic Studies – Doctoral School)


The Eurozone is facing the deepest crisis since its foundations. The subprime crisis that surged in the United States spread into a banking, then economic crisis. Markets were won by panic and overreacted to risk, generating the European sovereign debt crisis. The article is structured as follows. In the first section, I revisit the main causes and factors that made the sovereign debt crisis possible. In the second section, I study the challenges the Eurozone is facing in the process of restabilising market confidence and putting European peripheral economies on a sustainable path. Third section assesses the main proposals, such as the introduction of the European Monetary Fund and the creation of a Eurobond market and considers the advantages and the drawbacks of these solutions. Finally, the last section concludes and makes an assessment on possible outcomes for the Eurozone. Reforming its institutions appears compulsory for its future survival should a further crisis emerge.

Suggested Citation

  • Maria Halep, 2012. "Sovereign Debt Crisis in the Eurozone– Towards an Inevitable Reforming of the Euro Institutions," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 192-197, May.
  • Handle: RePEc:ovi:oviste:v:xii:y:2012:i:12:p:192-197

    Download full text from publisher

    File URL:
    Download Restriction: no

    More about this item


    Euro Zone; sovereign debt; fiscal union; budget deficit; eurobonds;

    JEL classification:

    • G01 - Financial Economics - - General - - - Financial Crises


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ovi:oviste:v:xii:y:2012:i:12:p:192-197. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gheorghiu Gabriela). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.