A financial crisis is any variety of situations in which some financial assets suddenly lose a large part of their nominal value. In the 19th and early 20th centuries, many financial crises were associated with banking trepidation . Other situations that are often called financial crises include stock market crashes and the bursting of other financial circles, currency crises, and sovereign defaults. Financial crises directly result in a loss of paper wealth but do not necessarily result in significant changes in the real economy

Many economists have suggested theories about how financial crises develop and how they could be prevented. There is no consensus, however, and financial crises continue to occur from time to time. Could the ''Financial Crisis'' happen again? comment below

Comments (1)

  • Olivia-Avatar.jpg Olivia @ Topical Talk
    19 Nov 2018

    Please write all posts in your own words and include the link to where you found your information. Thanks!

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