Case Study on Global Economic Crisis

Global Economic Crisis Case Study:

Global economic crisis is the phenomenon which is characterized with the fall of the global economic system and its elements. There have been several economic crises during the human history. The fist one occurred in 1929 and lasted till the end of the 1930-ies and was called the Great Depression. After that the financial crisis of 2007-08 is worth attention. This crisis was quite serious because there was the risk of the breakdown of the whole system. The production in the developed countries fell and the number of unemployed increased. This caused enormous reduction of the financial background of an average person. Naturally, global economic crisis affects the middle class which is supposed to be the basis of the developed country. If the middle class falls, the condition of the country becomes tragic. Nowadays continues the current economic crisis which started in 2010 but its impact is not so serious yet. Global economic crisis is closely connected with the disorders in the banking system, overproduction, the irregular crediting, etc.

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Numerous factors related with banking systems, shares and stocks influence the financial condition of the country. Of course, in the modern period of globalization it is impossible to survive separately without the partnership and cooperation with other countries. Because of the intensive international economic relations the crisis in one country influences the economics of the other one and as a result there is global economic crisis, which requires common solutions and global support.

Global economic crisis is the phenomenon which has a negative influence of the world’s economics.

It is important to understand the reasons of the crises, the types of crises, the elements which are important for the regulation of the economic stability of the country’s and global financial system. If the student is aware about the principles of the work of the global economics, he is able to research the definite case about the crisis. In order to succeed in the process of writing one should learn about the case site and research the cause and effect of the global economic crisis. One is supposed to collect reliable facts and evidence about the case and think about the possible effective solutions of the crisis.

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