The European debt crisis demonstrated not only the fragility of the bloc to external shocks, but it also showcased the glaring inequality within the European nations. It was a reminder that the impact falling across the Eurozone is not only severe but also unequal.
The European Union is exactly that, a union. This interconnectedness works well when all members are doing well, but what happens when one is not? Many investors are concerned about the health of banking in one member country in particular, Italy, and how its struggles may infect the Eurozone as a whole.