EU Insists US Recession Will Not Cross Atlantic

At least someone recognizes a recession, because Bush won't admit we are in one. LOL

The EU cannot insulate themselves from our recession. Too much of their money is invested in the USA for them not to feel a downturn.

*snort*.. idiots sitting in their nice offices, its already here.

In Spain, construction on new projects has stopped,
only stuff already started is being worked on, and slowly.
Construction is one of the biggest industries in Spain, and people
are already scrambling.

Prices of homes are predicted to drop 10% this year; mind you, the market
is about 30% overheated right now anyway

Where does all the Spanish property money come from ?? England,
so wonder whats happening over there..

Prices in Slovakia have levelled off, and may even go down next year


So yes, we will get it over in Europe as well; maybe not as bad,
i dont think the mortgage market is as wild as in the US... but its
going to be felt..

Europe is in no postion to be insulated from most
elements of a downturn. Their biggest problem is
unfunded state pension liabilities in their two
'flagship' economies, Germany and France.
Unemployment reduces the current income taxes they
use to pay these unfunded pensions.
Germany already runs a defecit % that exceeds their
own EU limits...and they're the ones who pushed
for those limits over French and Italian objections
when the EU established them...inflation always results
from such defecits.