If you view the news feed over the past few years, then almost every week you can find reports about the next manifestations of the financial crisis. Yes, this topic has already managed to fill up, or rather, how they are fighting with this crisis. Numerous congresses and summits are still ineffective, since so far there is no consent between their participants.
According to many financial analysts, the beginning of the global economic crisis was at the time of the collapse of the banking system confidence to depositors and vice versa. For example, the American economy, which is more tied to domestic consumption, lived on credit for too long. Houses were built, people took loans to open their own business and so on. And very often such loans were issued without sufficient financial support. On the other hand, the abundance of risky operations, which were fond of trust funds, entailed the fall of this pyramid, as a result of which that had long existed in the economy, which lived beyond their means, problems. Banks began to increase interest on loans, provoking the increase in the number of problem loans. The population could not find money to repay the loans taken, which entailed a drop in demand and slowing down the growth of the economy.
If you look at the European continent, then here the global crisis manifested itself in a number of other factors. For example, the economy of countries such as Greece and Spain lived for a long time, like the United States, not. Too large and unprocessed social payments have led to the fact that the expenses exceeded all possible budget revenues. The government of these countries has not found anything more successful, as a policy of strict savings. Yes, on the one hand, such a policy helped to save budget money, and on the other hand, the fall of purchasing power and the growth of unemployment only aggravated the crisis. As a rule, regardless of countries and continents, two models of solving economic problems are proposed. Supporters of the first approach, such as Germany, advocate strict savings and reduce social benefits. Supporters of another approach suggest stimulating economic development. For example, investments in the opening of new jobs that will allow people who have lost their jobs. Yes, the global crisis brought many difficulties in the economies of different countries, but it can be overcome. The main thing here is to find a common language.
The economy is a subtle balance between the interests of some and the possibilities of others. Any excesses here are unacceptable and will only lead to the deepening of crisis phenomena.