Macroeconomics Essay Sample

The interview subject in this case is a job seeker who resides in the United Kingdom. The study seeks to find out how the Eurozone Crisis has impacted the job seeker because this economic situation has had an immense impact on the economy of the UK. The Eurozone crisis has been a continuing crisis which has affected a majority of countries in the European Union since the beginning of 2009. The crisis was caused by a combination of multifaceted factors which include; the financial crisis of 2008, globalization of finance, real estate bubbles, international trade imbalances, fiscal policy strategies relating to government spending and choices made by countries in bailing out the disturbed banking industries. This resulted in extreme national debts coupled with rising interest rates from the lenders. Hence, most governments would not finance their budget deficits effectively and this gave room for foreign creditors to save the situation. The raising taxes and decrease in expenditure has therefore affected the economic condition of most countries in the Eurozone and this includes the UK.
The crisis has resulted to a rapid rise in unemployment especially amongst the youths in the euro zone. The job seeker in the study is Donald Jackson who is a qualified real estate analyst. Donald lost his previous job through a downsizing program that was initiated in his former company in the beginning of 2012. Since that time he has not been able to secure another job in the country. His retrenchment came in the wake of rising taxes imposed by the governments which thus made it difficult for investors to earn the expected margins due to the increased operating costs. For Donald, this came as a surprise since he was a permanent employee for the firm and he thought there was some security of tenure in the company. According to Donald, the ease of acquiring another job has been changing and it has now proven difficult to find one despite of his exemplary qualifications. In the past he had worked for several companies and it was much easier to switch jobs depending on the salary scale.
However, in the current times the increased difficulty of acquiring a job has ensured that he is not guided by the salary scale while making job applications. At the moment, Donald has written many applications to many companies without any response from them. He has noted that there are no job vacancies in a majority of companies in the real estate sector in the UK. He attributes this to the rising levels of interest rates offered by financial institutions as well as the decreased levels of government spending which has shut down advances made by potential investors in the real estate sector. As a result, there are no new entrants in the sector who would be willing to take up people for employment. Consequently, the remaining companies in the real estate sector have undertaken downsizing measures and thus are not willing to employ more labor so as to cut on costs. The lack of employment has therefore forced Donald to develop a new personal life which would help him cope with the current economic conditions.
One of the major changes that he has made is hiring up his house so as to relocate to a much cheaper apartment that he can afford with his meager income. He went ahead and used the income from his house to set up a small restaurant business which would support him in the current time. He was also made to change his spending habits so as to ensure that his income would be enough to provide for his consumption bundle. This has led him to adopt a new lifestyle which he can efficiently afford given his current income. However, it has not been easy for him given the fact that he had a stable and well paying job before the Eurozone crisis. He asserts that the real estate sector has been worst hit by the Eurozone crisis due to the decline in financial transactions which supports this trade.
Conversely, Donald has renewed hope that with the current mechanisms being put in place he will still be able to acquire a job in the country to support his livelihood. Donald had to make an agreement with his wife on how to budget their incomes so as to be able to raise their family in this time of crisis. He has developed a new plan of action that seeks to lay more focus on his small business. This will be directed at devising methods of expanding the restaurant business so as to increase the income accrued. He seeks to make the best out of this investment, particularly because he is jobless and thus would not be distracted in his personal business. However, his endeavors to find a new job are still determined and he would employ individuals to run the business in case he is lucky to find a job. In conclusion, the Eurozone crisis has had great impact on the lives of the people living in the euro area. People have been forced to take up different life dimensions so as to remain fit with the prevailing economic situation.