Overview
Global financial crises are significant events that disrupt financial markets and economies worldwide. They can arise from various factors, including economic mismanagement, regulatory failures, and external shocks. Understanding these crises is crucial for policymakers and investors to mitigate the...
Key Terms
Example: The country entered a recession after the financial crisis.
Example: Banks need liquidity to meet withdrawal demands.
Example: The government provided a bailout to the struggling bank.
Example: High inflation can erode purchasing power.
Example: The housing market experienced an asset bubble before the 2008 crisis.
Example: Increased government spending is a form of fiscal policy.
Related Topics
Economic Recession
A period of economic decline characterized by falling GDP and rising unemployment.
intermediateMonetary Policy
The process by which a central bank manages the money supply to achieve economic goals.
intermediateGlobal Trade
The exchange of goods and services between countries, influencing global economies.
intermediateKey Concepts
causes of crisesimpact on economiesgovernment responseshistorical examples