Debt crisis in Europe in the context of 2007 global financial crisis and reflections on Turkey's public financial balances

Mortgage crisis has become a global crisis as a result of crisis, which began in housing market in the US in 2007, taking hold of real economy and spreading to all sectors. In the consequence of credit agencies has been decreasing the credit ratings of big American mortgage suppliers and financial chaos that has begun in the US, European countries which has hold mortgage backed securities has been influenced from this condition. With transition of European Union to single currency system, as a consequence of countries, which included to Euro Area, have implemented a common monetary policy, loan costs have decreased and this situation has prompt Euro Area countries to run in debt since they maintain their public finance. International credit agencies, which have started to make tiny distinctions with getting deeper of financial crisis of the US, with decreasing the credit rating of Greece in the sequel of economic uncertainties, loan cost of Greece has increased. Economic issues of Greece that has experienced, with considering to be cleared up in its dynamics by European Union, in the consequence of getting late to response to crisis, the crisis has been getting deeper. In the result of not to consider of economic imbalances that some countries have experienced in the European Union in the period of before crisis, Irland, Portugal, Spain, and Italy have also gone through to crisis soon after Greece. Within the scope of the question of whether Europe crisis has effected its trade partners, Turkey, which has realised more than a half of its export and import with European Union countries, researched that whether it has been influenced from the crisis or not and Turkey, which was monitored in its current account deficit with decreasing of its export to member countries of European Union in the crisis term and with increasing of its import in the same term, was observed to success minimalizing the affect of the crisis with taking measures due to take lessons from previous crises. Turkey economy has achieved growth in the periods of European Union member countries in deep crisis and in economic constriction. In this sense, it's possible to say that debt crisis has been inside the Europe with the affect of the global crisis, has not affected to Turkey.