GLOBAL ECONOMIC
CRISIS
INTRODUCTION
The global economic landscape has been a series of booms and
busts, with periods of expansion punctuated by crises that ripple
across borders. These crises, often triggered by a complex interplay
of factors, have a ripple effect that impacts industries, countries,
and individuals worldwide. The year 2008 serves as a stark reminder
of how interconnected economies are, with a financial crisis
originating in the United States sending shockwaves around the
globe. Since then, the world has faced numerous economic
challenges, each with its unique set of triggers and consequences.
BACKGROUND Really Great
Company
The 2008 financial crisis, which ensued in the United
States housing market, instantly removed into a global
economic recession.
The worst monetary crisis since the Great Depression of
the 1930s revealed weaknesses in the global financial
system.
Subprime finance advancing, complex financial methods,
and lacking regulation were included the factors that
began the crisis.
The folding of most important financial institutions,
cutting stock markets, and a credit crisis guaranteed,
directing to a global collapse.
Governments applied huge spur packages and bailouts to
steady economies and stop a total failure of the financial
system.
The effects were far-broad. Unemployment flooded,
businesses closed, and millions lost their homes due to
foreclosure.
The penalties were not constrained to the United States;
finances across Europe, Asia, and tail felt the
consequences.
OBJECTIVES
Economic crises do not affect everyone equally. Often, the most vulnerable
members of society are hit the hardest. During the 2008 financial crisis, for
example, low-income earners were more likely to lose their jobs and homes.
Minorities and people in informal sectors were also disproportionately
affected. Studying the impact of economic crises on vulnerable populations
is essential to developing policies that promote inclusive growth and ensure
that everyone benefits from economic prosperity.
RELEVANT LITERATURE REVIEW
Insight into the global This literature review trains to
economic crisis needs a grade current studies conveyed
deep understanding of to the purposes of this report,
open literature, which shedding light on different pieces
feeds perceptions into its of the global economic crisis and
root triggers, impacts, feeding critical assessment along
policy replies, and the with the author's estimation.
connection of economies.
DATA & ANALYTICAL
VIEWPOINTS
Impacts of the Global Economic Crisis
Income Inequality: Economic crises often exacerbate existing
income inequality. The data shows a widening gap between
the rich and the poor following major crises.
Financial Market Volatility: Stock markets experience
significant volatility during economic crises. The graph
illustrates sharp declines in stock prices during the 2008
financial crisis and the COVID-19 pandemic.
Small Business Closures: Small and medium-sized enterprises
(SMEs) are particularly vulnerable during economic
downturns. The data shows a significant increase in business
closures following major crises.
DATA & ANALYTICAL
VIEWPOINTS
Solutions and Policy Interventions
Monetary Stimulus: Central banks use monetary stimulus
measures like lower interest rates and quantitative easing to
provide liquidity and support financial markets. The graph shows
an increase in the money supply following major crises.
Fiscal Stimulus: Governments implement large-scale fiscal
stimulus packages to boost demand and support businesses and
individuals. The chart illustrates a rise in government spending
during economic downturns.
Support for SMEs: Targeted support measures such as loan
guarantees, tax breaks, and grants can help small businesses
weather economic downturns.
Investment in Infrastructure: Infrastructure projects can create
jobs, stimulate economic activity, and enhance long-term growth
prospects.
DATA & ANALYTICAL
VIEWPOINTS
Analytical Viewpoints
The effectiveness of different policy interventions in addressing
economic crises is a subject of ongoing debate. Monetary stimulus,
for example, can be helpful in stabilizing financial markets and
preventing a deeper recession. However, its effectiveness in
promoting real economic growth is limited. Additionally, while fiscal
stimulus is crucial during economic crises, governments need to be
mindful of the long-term consequences of increased public debt.
Economic crises often exacerbate existing inequalities. The most
vulnerable members of society are often hit
THE ROAD AHEAD
Future
The global economic crisis has had a profound impact on the world, and its
long-term consequences are still unfolding.
Policymakers face a number of challenges in the years to come, including:
Promoting sustainable and inclusive growth
Addressing climate change and other environmental challenges
Strengthening global cooperation
The global economic crisis has been a complex and challenging event. It
has exposed the vulnerabilities of the global financial system and
highlighted the need for greater international cooperation. However, it
has also presented an opportunity to build a more resilient and
sustainable global economy. By understanding the root causes of the
crisis, the analytical viewpoints of various approaches, and the road
ahead, we can work towards a more stable and prosperous future. This
will require a concerted effort from governments, businesses, and civil
society to develop and implement innovative solutions to the
challenges that lie ahead. Global cooperation will be essential in
addressing these challenges and building a more resilient and inclusive
global economy.
CONCLUSION
THE END
of Presentation
