The crisis has hit the whole continent. Who's fault is it and how can the EU help? 30 students from a school Glyfada talk with MEP Anni Podimata.

Let's Talk: Economic crisis

Today we will discuss  the financial crisis,

a topic that concerns all of us  throughout the EU.

We're going to discuss whether or not  the EU did right to intervene.

we have those who are against  the intervention of the EU.

On that side, we have those  in favour of the EU intervention.

The EU operates on the basis  of the solidarity principle,

and, thus, offers social,  economic and cultural support.

I believe that EU countries should  help each other with their problems.

A crisis in one country  can expand to other countries.

The EU addresses this  by helping the EU state in crisis

with the aim of improving the situation  and protecting other countries.

Do you think there was solidarity  towards Greece? Yes or no?

The Greek debt would have been  much larger without the EU intervention.

Germany, for example,  intervened to save the Greek banks.

The German banks gave us loans  and bought our debt,

because a Greek insolvency  wasn't in Germany's interest.

When the EU intervenes  in a national financial crisis

an important part of the national  sovereignty is given up,

more particularly  the national economic policy.

The sole aim of the Brussels  and IMF technocrats

without considering  the sacrifices made by the people.

The EU is constituted of  a competent group of committees,

such as the European Council  and the Council of Ministers.

Together they offer solutions to countries  so that they may get out of a crisis.

Also, the EU helps Member States  with the management of their currency.

Therefore, the EU is a capable tool  to help Member States get out of a crisis.

I'd like to mention the implications  of the EU intervention in the Greek crisis.

In case of an EU intervention  other EU countries become informed.

They find out about criminality,  demonstrations, strikes,

and they decide to steer clear of Greece,  which has an impact on tourism.

It also has an impact on  foreign investment.

How our country is seen by others  is our problem.

It has nothing to do with the information  provided by governments,

by MEPs, by MEPs to their counterparts  or by ministers of state.

It is in the EU's interest to support  a Member State in crisis,

If one Member State is declared insolvent  the euro will decrease in value.

Therefore, we see that the economies  of the eurozone are linked.

The question is whether there  is enough trust for such assistance.

Some are in favour  and others are against.

Those in favour of the view that no help  should be provided by the EU

claim that each country should respect  the rules of the economic alliance.

The notion that governments cheat  supports this view.

Firstly, many countries  provide falsified balance sheets,

As a result, there is no accuracy  and, therefore, no trust.

Estimates are incorrect  because of incorrect or falsified data.

Therefore, the projections  do not match the reality.

Secondly, countries respecting  the rules and the pacts

are called upon to share  the burden of the debt.

This is unfair because, although  those countries showed discipline,

they are asked to pay for  the wrong-doings of other countries.

Thirdly, weaker countries  ask for support

without there being  any clear benefit for the stronger ones.

Consequently, the small countries  secure support

and the more developed ones  have to make do on their own.

The involvement of the EU  as a strong institutional entity

rationalises the financial  organisation of the Member States

by restricting  the arbitrariness of governments

and by ensuring normal conditions  on the international market.

Therefore, the collaboration  of a problematic country with the EU

which results in the acquisition  of know-how in financial management,

The EU can offer benefits but can also be  a disadvantage for Member States.

In Greece, for example,  the interventions by the government,

based on what was  agreed on in the Memorandum,

have pushed the economy  into an unprecedented recession

and, as a result, the state income  remains far below the target.

This means that in 2011  new measures will be introduced,

such as cuts to balance  the reduced income of the country.

Instead of that, emphasis should be  given to the development of the economy,

which benefit the country  and create jobs

such as the agricultural  and the industrial sector.

It also strengthens the links  between the European countries

because they follow a common path  where support and solidarity are priorities.

because things are not black or white,  particularly on this subject.

There are rules to be adhered to  when you belong to a partnership,

like the EU and particularly  the single currency.

Membership to a partnership  implies certain rights and obligations.

The EU must offer both economic  and technical assistance.

If a country had no heavy industry,  and therefore no large profits,

the EU can teach  how to exploit natural resources

which up till then had not been exploited  owing to a lack of know-how.

The EU lends this money in order to gain  something out of the situation.

It checks the finances  of any borrowing country,

to make sure the considerable  interest payments will be met.