The Future of the Euro zone and U.S. Interests Case Study

The Future of the Euro zone and U.S. Interests - Case Study Example With the threat of default the markets started in claiming exaggerated interest rates against their bonds. This grave concern entailed enormous risks and uncertainties enthralled to the banking system of Europe and simultaneously the viability of the euro. The staggered growth in the Euro zone with mild recessionary forecasts in 2012 leads to the enhanced problems in the banking systems. One of the significant causes of the crisis results from the loopholes in the architecture of the currency union along with the fact that EMU provides a provision for a common central banking structure. The weak enforcement of the dynamic fiscal discipline resulted in the rising of the public debt in some of the Euro zone countries. Trapped in the euro, the individual members find it difficult in inflating their way out of the huge public debt or make an endeavor in devaluing their currency in order to make their exports more competitive in the trading platform (Ahearn et al, 2012). The paper will se ek the problems faced by the US corporations in Greece in accordance with the euro zone debt crisis and will focus on the case study approach involving analysis which will direct towards the policy implication paradigm which will state that whether the US corporations along with their joint ventures will withdraw from Greece or not. Adverse signaling starting with Greece and the present situation The Euro zone crisis began in early 2010 at a juncture when the financial markets were jeopardized with its herald in Greece. Fears generated and signaled that the default in Greece was an adverse indicator for other Euro zone countries. There was delayed response from the stabilization policies for the renewal of the crisis period. Extended negotiations resulted in the intervention of the International Monetary Fund (IMF) in 2010 in supplying a fund of â‚ ¬110 billion loan for Greece along with a wider stabilization fund booster for the other Euro Zone countries for the requirement of t he loans. In a quite recent European Union (EU) summit on December 8-9, 2011, the leaders of the European Union declared a jolt of new policy measures which included fiscal compact as well as bilateral lines of credit from the European countries to the IMF for addressing the critical position of the Euro Zone Crisis (Ahearn et al, 2012, p.1). Threats for the US corporations A very serious concern which crept up among the United States (US) is that the aftermath of a sovereign debt by Greece or the massive collapse of any European financial institutions was forecasted with the wave of credit freeze-ups in to the US resulting in the devastations in the US stock market and the economy. Another additional concern of the United States is regarding the staggering down of the Euro zone economy with the depreciation of the euro which will in turn affect the exports of the United States and hence the earnings of the companies of the US companies (Ahearn et al, 2012, p. 3) . Possible frontier s of the Euro zone crisis The Euro zone crisis is thought to have severe effects on the US economic and political interests in varied ways. One of the major concerns in the US is that a sovereign default by Greece or the breakdown of the financial institu

Domestic Partner Benefits for American Corporations Research Paper

Domestic Partner Benefits for American Corporations - Research Paper Example Despite that fact that this concept contribute positively towards creating a positive attitude on the labor force, this issue has led to numerous debates with many corporate stakeholders wondering whether benefits should be given to domestic partnerships or not. This paper will bring into perspective this issue by arguing for and against domestic partner benefits of employees and later provides its own opinion. The phrase domestic partner benefits could most probably be taken to refer to employee benefit programs offered to non-married couples the same or even similar benefits as those provided to the married couples. It is worth noting that domestic partner benefits can be categorised into two; same sex and opposite sex partners. According to Woodlink, 36) it is therefore upon the employer to decide which category to give the benefits. It has been observed that due to the escalating number of employers, majority of the corporations have extended the benefits to homosexuals, lesbians, bisexual as well as transgender employees and their families. It is imperative to define who domestic partners are. These are two individuals who have been in an intimate relationship for a long time and in addition to this, are financially and emotionally interdependent. However, the employers are at liberty to define who a domestic partner is. Additionally, employers wishing to implement a domestic partner plan need to create an accurate definition of what a suitable domestic partner should have. To mention but a few of these element: the partners must have attained the age of eighteen years, neither of the partner should be related by blood closer than permitted by state for marriage. In addition to this, the partners must share an intimate relationship and the relationship must be exclusive. It is worth noting that documentation of proof of a domestic partner relationship may take a number of forms. It is left to the liberty of the employer to determine what is most suitable. Some get contented with their domestic partners signing a written statement of their relationship while others just require a proof of some financial relationship for instance a joint lease or mortgage. Village Voice newspaper is said to be the first private company to provide domestic partnership benefits in 1982. By 1985, the cities of Berkeley, West Hollywood and California State followed suit. And since then, both private and public corporations have embraced this program. As a matter of fact, it was said that by 2006, most of the Fortune 500 largest American corporation provide health insurance for domestic partners of their employees. The corporate employers offer a variety of domestic partner benefits in terms of packages. These packages are either soft or hard benefits also referred to as low-cost and high-cost benefits. Majority of the American corporations offer the low-cost benefits to their domestic partners. These may include among others; sick leave, access to a corporation facilities, permission to attend both company and personal functions and relocation expenses. Other than this there are the high-cost benefits that some corporate employers offer to their employees. This may include benefits such as health and medical insurance among others (Quizterson, 78-82). Federal Defense of Marriage Act