The global financial crisis, which started from the problems in the US mortgage market in 2007, consequently gradually spread throughout the world.Sale of assets and withdrawal of funds from other countries by large US corporations led first to a lack of liquidity and credit resources in the financial markets, and then to the problems in the real economy.Tags: Science DissertationWrite An Essay In EnglishOcr Physics Materials CourseworkSolving Energy ProblemsEntrepreneurship EssayLeadership Scholarship Essay WinnersSatellite Technology Research PaperHow Do You Write A Proposal For A Research PaperA Good Thesis Statement For ItalyBartleby The Scrivener Thesis
Many of EU states that pursued an active policy of integration into the world economy have become no exception.
Thus, for the first two weeks of January 2008 the European DJ Euro Stoxx Banks stock index fell by about 10% (Agarwal & Samanta, 2014).
According to Eurostat published in February 2009, industrial production in the EU in 2008 decreased by 11.5%, which is an absolute record: this was the biggest fall since 1986 (Stiglitz, 2010).
Despite the fact that the official end of the global economic crisis is considered the second quarter of 2009, the average economic activity in the euro zonerecovered by about 2/3 compared with losses of 2008-2009 (Choi, 2013).
At the same time, processes of degradation of political institutions are now mostly noticeable, as the new model of global development and democracy has not yet emerged.
Traders work on the floor of the New York Stock Exchange after the closing bell on Sept. At the time, the Dow recorded its biggest closing drop in history, falling 777 points.
Because of the crisis, in October 2009, Greece held early parliamentary elections thatbrought the Socialists to power.
Political changes also occurred the Czech Republic, Latvia, Lithuania and a number of other states.
Especially in light of the persistence of debt problems in the euro zone and the lack of specific solutions, as well as a marked slowdown of the US economy, which fuels the rumors that the Federal Reserve will have to take new measures to stimulate it (Stiglitz, 2010; Choi, 2013).
However, the massive printing of money to save the demand, to support the economy and reduce unemployment postpones the problem, but no longer removes it: liquidity ceased to transform into economic growth.