Essay on Financial Crisis 2008
THE GLOBAL FINANCIAL CRISIS 2008 Group’s member:Nguyễn Như Nam (C)Phan Thu AnNguyễn Thùy DungHoàng Bá SơnNgô Thị Ánh TuyếtDate: 28/11/2014 |
AbstractIn 2008 the world was fell into the worst financial crisis since the Great Depression of 1929-1933. Although this crisis has gone, however, its consequences for the economy of many countries is very serious, even now many nations are still struggling to escape difficulty. Just in a short period, the crisis originating from America has spread to all continents. It led to a series of serious consequences such as the falling in stock markets, increasing in unemployment rates, large financial institutions had been …show more content…
To understand the occurrence easily, we should know about what is financial crisis first. Theoretically, it is a situation in which the value of financial assets or financial institutions drops rapidly in a short time. According to (Kose, 2013), a financial crisis is often associated with a run on the banks, in which investors sell off assets or withdraw money from their savings accounts. And it leads to the collapse of the financial system.
A financial crisis is related to financial structure, affects international capital flows and impacts on the collapse of financial institution and the real economy. On the other hand, an economic crisis is related to economic