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Global Financial Crises
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The Great Depression (1929)
Causes: Stock Market Crash, Bank Failures, Reduction in Purchasing. Effects: Unemployment, Deflation, Global Economic Slowdown. Resolution: New Deal Policies, Creation of FDIC, Monetary Reforms.
Asian Financial Crisis (1997)
Causes: High Levels of Debt, Currency Pegs, Overinvestment. Effects: Devaluations, Economic Contractions, Social Upheaval. Resolution: IMF Bailouts, Structural Reforms, Managed Float Exchange Rate Systems.
Savings and Loan Crisis (1980s)
Causes: Deregulation, Risky Investments, Interest Rate Swings. Effects: Savings and Loan Failures, Taxpayer Bailouts, Economic Recession. Resolution: Financial Institutions Reform, Recovery and Enforcement Act, Closure of Institutions.
Russian Financial Crisis (1998)
Causes: Fiscal Deficit, Decline in Commodity Prices, Political Instability. Effects: Ruble Devaluation, Default on Debt, GDP Contraction. Resolution: Currency Stabilized, Economic Restructuring, Foreign Aid.
Dot-com Bubble (2000)
Causes: Speculative Investments, Overvaluation, IPOs of Questionable Companies. Effects: Market Crash, Loss of Wealth, Closure of Start-Ups. Resolution: Market Correction, Increased Regulation, Shift to Profitable Business Models.
Global Financial Crisis (2007-2008)
Causes: Subprime Mortgages, Deregulation, Complex Financial Products. Effects: Bank Failures, Global Recession, High Unemployment. Resolution: Government Bailouts, Dodd-Frank Act, Quantitative Easing.
European Sovereign Debt Crisis (2010)
Causes: High Government Debt, Banking Sector Problems, Economic Imbalance. Effects: Austerity Measures, Social Unrest, Rescues by EU/IMF. Resolution: Bailouts for Affected Countries, Fiscal Compact, European Stability Mechanism.
Latin American Debt Crisis (1980s)
Causes: External Debt Accumulation, Sudden Changes in Interest Rates, Drop in Commodity Prices. Effects: Hyperinflation, Economic Stagnation, Political Turmoil. Resolution: Brady Plan, Economic Reforms, Debt Restructuring.
Japanese Asset Price Bubble (1991)
Causes: Loose Monetary Policy, Speculative Asset Investment, Economic Overheating. Effects: Asset Price Collapse, 'Lost Decade', Banking Issues. Resolution: Monetary Tightening, Fiscal Stimulus, Financial System Reforms.
Turkish Economic Crisis (2001)
Causes: Political Instability, High Inflation, Banking Sector Weaknesses. Effects: Deep Recession, Stock Market Crash, Severe Depreciation of Lira. Resolution: IMF Support, Governance Reforms, Floating Exchange Rate Adaption.
Argentine Economic Crisis (1999-2002)
Causes: Currency Board Arrangement, Fiscal Deficits, External Shocks. Effects: Economic Collapse, Social Protests, Default on Public Debt. Resolution: Abandonment of Currency Peg, Economic Restructuring, New Currency Issuance.
Nordic Banking Crisis (1990s)
Causes: Deregulation, Asset Bubble, International Financial Market Turmoil. Effects: Banking Collapses, Government Takeovers, Severe Recession. Resolution: Nationalization of Banks, Government Guarantees, Financial Market Reforms.
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