Global Financial Crisis

Global Financial Crisis

The Global Financial Crisis of 2007-2008 was widely blamed on the subprime crisis and its fallout, which led to the collapse of Lehman Brothers in 2008, with the US government forced to bail out AIG,

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Economic toll of coronavirus could be unlike anything we’ve seen before
Before the coronavirus crisis began rippling through the global economy, Susan Wang had big plans for 2020. Not only was she going to buy a new Apple MacBook and iPad, plus a projector so she could host friends for movies at home, but she was set on making a career move. “I was planning to change my job, but my headhunter told me that all recruitment had been postponed to the second quarter,” said the 27-year-old who works for a British company in Hong Kong. “Our headquarters in London has a plan for redundancy, too. It is better to save some money in case I get laid off.” As Covid-19 spreads across the world, sending stock markets reeling and prompting companies to slash jobs, Wang has bec
The coronavirus may have invited the next global financial crisis
The US Federal Reserve has just cut interest rates by half a percentage point and the Reserve Bank of Australia by a quarter of a percentage point, while some expect the European Central Bank, with interest rates already at zero, to directly fund small and medium-sized enterprises. These central banks are acting like they can save the world, but markets are unconvinced. It seems that the central banks, after playing markets like maestros with quantitative easing and extremely low-interest rates, have finally met their match in Covid-19. Central bank moves are sustaining the largest financial bubble in human history. After 2008, these banks helped the global economy recover by jacking up asse