Wages in the UK have seen one of the largest falls in the European Union during the economic downturn, according to official figures.
|Scooped by Jason West|
Summer Assignment Week 9.2
Bittersweet news for Americans that are tired of economic downturns: we are not alone in our suffering. When one area of the world is stricken with financial hardship, the shockwave generally hits other places as well even across the globe. The European Union (EU) knows this all too well. With their economies so closely linked, each EU nation feels a crisis regardless of where it occurs in the continent. Economic hardships continue for many (but not all) countries in the EU.
The debt crisis among EU nations has forced people in most of these nations to suffer depressing declines in wages. The decline in wages for people in the United Kingdom is among the worst felt by any in the 27 EU nations. Figures compiled by the House of Commons library indicate that average hourly wages in the United Kingdom had decreased by 5.5% since mid-2010. According to the same figures, only Greece, Portugal, and the Netherlands had worse falls in average hourly wages; thus the United Kingdom places fourth in this regard. Average wages across the Eurozone as a whole fell by 0.7%.
A huge problem that EU governments face is, in the case of economic recovery, ensuring that as many people as possible reap the benefits of improved living standards and lower costs. If only a fraction of the people feel the economy is improving, then the government still has plenty of work to do.
Although Economics Honors gave me such a better understanding of the economic world, I still have no idea how worldwide financial problems can be solved. I surely hope that those with the knowledge and ideas are being heard, and that those doing the listening have the means to act.