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Article:

How the Fall of the Euro Will Affect Us All

If the Euro Hits the Skids, What Will That Mean for the United States?

Lots of Debt

So what does that all mean for the United States?

Nothing much, if Greece or Spain default on their debts and other European countries remain stable, Quinn said. Greece and Spain have small enough economies that even significant troubles are unlikely to have much impact in the U.S.

The U.S. government and American institutions held a total of $135 billion in debt from Greece, Italy, Ireland, Portugal and Spain at the end of 2011, according to a recent report from Wells Fargo. The sum might seem high to us laypeople, but is in fact "rather limited" according to the Wells Fargo analysis. Furthermore, the total is likely smaller today, as investors have been generally moving away from European debt.

 

  • Sarah Shemkus

    Sarah Shemkus is an award-winning freelance journalist, marketing enthusiast, accomplished baker, occasional globetrotter and total nerd (with a particular fondness for spreadsheets). Most recently, she reported on business and real estate … Read more...