One economic issue facing Europe is high unemployment. The unemployment rate for the euro-zone is at about 11.1%. France, one of the most affected countries, sits at about 10.3% unemployment rate. Unemployment is a cycle of increasing unemployment and economic decline. For starters, it is generally harder to find a job the longer you are unemployed, because your unemployed time makes you less attractive to companies. But this isn't even the worst part. Unemployment generally escalates over time, due to the fact that when people have less money due to unemployment, product demand rates go down and companies lose profit. This leads to companies having to lay off workers, only increasing the unemployment because of the unemployment. It is a slow but deadly process that is affecting more and more European countries.
Another economic issue to be faced is debt. France and Belgium, two countries of the richest countries by GPD per capita in West Europe, have high debt to GDP ratios. France is at 95% (42,503 GDP/Capita in USD) with a debt of 40,378 USD per person and Belgium is at 106.5% (46,878 GDP/Capita in USD) with a debt of 49,925 USD per person. High national debt could lead to slow economic growth, higher living costs, and even financial crisis as seen in countries like Greece. The entire euro zone, including the countries of Western Europe, is in danger all of these issues with rising national debts and the interdependence on each other.
The next economic issue focuses in Germany. The nation's largest bank, Deutsche Bank, is facing a huge financial crisis. Last year, the bank announced a $7 billion quarterly loss and a plan to lay off about 35,000 workers. Last November, the bank paid off a $258 million fine for violating US sanction laws. Now, the bank is again facing a possible $14 billion fine to US regulators. With more and more financial stress piling up, it will be hard for Deutsche Bank to escape this crisis, and this could have a big impact on Germany's economy.