Recession stalks Europe as economy shrinks

In 2008, the Eurozone's economy shrank slightly, signaling a potential recession amid a global downturn. The economic decline began with the subprime crisis, spreading globally, compounded by rising oil and food costs. The strong euro also affected European competitiveness. Japan and the US faced similar recession risks. Oil prices and inflation trends are crucial factors, with hopes for inflation to decrease. Politicians are actively seeking solutions, with France and Spain taking measures to revive their economies.

What was the percentage decrease in the Eurozone's economy during the second quarter of 2008?

• 1.5%

• 2.0%

• 0.2%

• 0.5%

Which crisis is mentioned as the starting point of the global economic downturn?

• Food crisis

• Oil crisis

• Currency crisis

• Subprime crisis

What factors are mentioned as affecting the competitiveness of European industry?

• Strong euro

• Low food prices

• High oil prices

• Weak dollar

Which countries are noted as also facing potential recession alongside the Eurozone?

• Japan and the US

• Australia and Canada

• Brazil and Russia

• China and India

What actions are European politicians taking to address the economic challenges?

• Increasing taxes

• Reducing interest rates

• Implementing trade barriers

• Calling meetings and approving economic measures