What is the primary reason that the intensifying economic crisis in Europe threatens to impact the decisions of global managers in the United States and throughout the world?
A) The massive debt in Greece has caused Europe to slide into a new recession.
B) New measures by the European Commission to oversee banks and to monitor national budgets have been met with resistance by euro zone members.
C) The euro zone is a larger economic unit than the United States or China and is a major source of world demand for goods and services.
D) The inability to trim benefits and free up labor markets prevents the region from spurring any significant growth over the next decade.
E) The European economic crisis induces more investment in the EU.

Question

Quizplus · Accepted Answer

The European Union is a major source of demand for goods and services, and its economic crisis can impact the global market. As a larger economic unit than the United States or China, any slowdown in demand or economic activity in Europe can have ripple effects worldwide. Global managers need to consider how the European economic crisis can affect their businesses and investments.

What Is the Primary Reason That the Intensifying Economic Crisis