Global financial crisis refers to a period of severe economic turmoil experienced by the global financial system. It is characterized by a widespread collapse in financial markets, entailing a sharp decline in asset prices, reduced liquidity, and increased bankruptcies. The crisis often leads to a significant contraction in economic activity, diminished international trade, rising unemployment rates, and government interventions to stabilize the financial system.
During a global financial crisis, financial institutions may face immense pressure due to excessive risk-taking, unsustainable levels of debt, or the exposure to poorly performing assets. The crisis can originate from various triggers such as systemic failures in banking and lending practices, sudden shifts in investor confidence, or major economic imbalances. The repercussions of the crisis are widespread, affecting economies, businesses, and individuals globally.
For more information about the Global financial crisis, you can refer to the following active websites:
1. Investopedia – Global Financial Crisis: This page on Investopedia, a leading financial education website, discusses the causes, effects, and timeline of the global financial crisis. It provides detailed analysis of major events and key players involved in the crisis, offering a comprehensive understanding of its impact on the global economy.
2. International Monetary Fund (IMF) – Global Financial Stability Report: The IMF’s Global Financial Stability Report provides in-depth assessments of global financial markets and identifies potential risks and vulnerabilities that could lead to another crisis. The reports analyze recent developments in the financial sector, policies implemented to mitigate risks, and recommendations for improving global financial stability.
Please note that these websites are subject to change or update over time.
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