In Peter Charles Choharis op-ed in Forbes today, he sets out five big myths about the present debt crisis in Europe

Europe consumed more than a fifth of America’s exports last year, yet U.S. markets seem to be ignoring Europe’s current economic turmoil. Much of Europe is heading into a recession, Euro-zone unemployment is at record highs, and Europe’s largest banks are struggling.  With European governments imposing austerity budgets, a looming credit squeeze, and many countries facing shrinking tax revenues and overwhelming debt burdens, it is hard to see when growth will return.  To understand how Europe poses a risk to the U.S. economy, it is important to dispose of some of the myths that surround Europe’s debt crisis.

Myth 1:

Germans are more fiscally responsible

Myth 2:

The European Union respects democracy

Myth 3:

The PIGS have only themselves to blame for Europe’s woes

Myth 4:

Northern Europe is bailing out the South

Myth 5:

Europe will avert a crisis after a Greek bailout and debt restructuring

You can read the full article here.

Peter a principal in Choharis Global Solutions, an international law and consulting firm that represents both U.S. investors and foreign governments on a range of foreign investment issues. He is an adjunct fellow at the American Security Project and a visiting scholar at theGeorge Washington University Law School.

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