The 2008 Global Crisis and Israel-Economy Resilience

2018 ◽  
Author(s):  
Assaf Razin
Keyword(s):  
Financial Crisis ◽  
Foreign Exchange Market ◽  
Global Financial Crisis ◽  
Domestic Currency ◽  
Global Crisis ◽  
Policy Makers ◽  
The Great Depression ◽  
Market Intervention ◽  
The Global Financial Crisis ◽  
Financial Shock

The global financial crisis generated the deepest and longest recession since the Great Depression of the 1930s. The defining event of the 2008 global financial crisis was a “hemorrhagic stroke”: a paralytic implosion of the loanable funds markets. Depression forces such as they exist in the US, Europe, or Japan, do not appear to hold in the case of Israel. Its resilience to the external financial shock during the global crisis is rooted in (a) the absence of credit boom in the wake of the crisis, and (b) the relatively small commercial banks' exposure in terms of toxic assets that for the European countries played a major role. Reacting to the global trade-diminishing shocks, policy makers’ concern was three-fold: First, banks exposures to toxic assets such as mortgage based securities and foreigners’ debt obligations. Partly because Israel skipped the credit bubble, and bank regulations were relatively tight, Israel showed a sound resilience to the global financial shock. Second, Israel export markets softened and demand conditions deteriorated. Third, Israel domestic currency got strengthened. Bank of Israel addressed the last two issues by a massive foreign exchange market intervention to weaken the value of the domestic currency, and stimulate exports. The need to prolong the stimulus policies dissipated relatively fast.

scholarly journals The Global Financial Crisis

2019 ◽  
pp. 94-112
Author(s):  
Edward Fieldhouse ◽  
Jane Green ◽  
Geoffrey Evans ◽  
Jonathan Mellon ◽  
Christopher Prosser ◽  
...  
Keyword(s):  
Financial Crisis ◽  
Great Depression ◽  
Global Financial Crisis ◽  
British Politics ◽  
Voting Behaviour ◽  
Political Opportunity ◽  
The Great Depression ◽  
Economic Vote ◽  
The Global Financial Crisis ◽  
Economic Competence

The Global Financial Crisis, which began in 2007–8, was the most significant financial crisis since the Great Depression of the 1930s, and acted as a large shock to British politics. The economic vote is usually thought about as a short-term mechanism: a reward or punishment for the incumbent depending on recent economic conditions. In this chapter we examine how this shock played a role in the outcome of the 2015 General Election, seven years after the crisis began. The Global Financial Crisis continued to affect voting behaviour in 2015 for two reasons: first, it did long-lasting damage to perceptions of Labour’s economic competence, and second, it created a political opportunity for the Conservatives to blame the previous Labour government for the aftermath of the financial crisis.

scholarly journals Empty talk? University voices on the Global Financial Crisis

2010 ◽  
Vol 6 (4) ◽  
Author(s):  
Todd Bridgman
Keyword(s):  
Financial Crisis ◽  
News Media ◽  
Global Financial Crisis ◽  
Housing Prices ◽  
Banking System ◽  
Policy Makers ◽  
The Us ◽  
Complex Events ◽  
The Global Financial Crisis ◽  
Company Sector

The global financial crisis (GFC) which began in 2007 with a liquidity squeeze in the US banking system and which continues to play out today has affected us all, whether through the collapse of the finance company sector, rising unemployment, falling housing prices or the recession which followed the initial market crash. The speed and scope of the crisis surprised most experts – policy makers included. Specialists from a myriad of disciplines, from economics and finance to risk management, corporate governance and property, are trying to make sense of what happened, why it happened and what it means for us now and into the future. Members of the public rely on the news media to keep them informed of the crisis as it unfolds and they rely on experts to translate these complex events into a language which they can understand. The GFC is educating us all, and it is important that we all learn from it to avoid making the same mistakes again. 

scholarly journals Economic History and Economic Policy

2012 ◽  
Vol 72 (2) ◽  
pp. 289-307 ◽  
Author(s):  
BARRY EICHENGREEN
Keyword(s):  
Economic Policy ◽  
Financial Crisis ◽  
Economic History ◽  
Policy Making ◽  
Global Financial Crisis ◽  
Policy Response ◽  
Science And Literature ◽  
The Great Depression ◽  
Historical Analogy ◽  
The Global Financial Crisis

“The lessons of history” were widely invoked in 2008/09 as analysts and policymakers sought to make sense of the global financial crisis. Specifically, analogies with the early stages of the Great Depression of the 1930s were widely drawn. Building on work in cognitive science and literature on foreign policy making, this article seeks to account for the influence of this particular historical analogy and asks how it shaped both perceptions and the economic policy response. It asks how historical scholarship might be better organized to inform the process of economic policymaking. It concludes with some reflections on how research in economic history will be reshaped by the crisis.

scholarly journals Contagion effects of the global financial crisis in us and European real economy sectors

2014 ◽  
Vol 61 (3) ◽  
pp. 275-288 ◽  
Author(s):  
Dimitris Kenourgios ◽  
Dimitrios Dimitriou
Keyword(s):  
Financial Crisis ◽  
Stock Market ◽  
Global Financial Crisis ◽  
Regional Analysis ◽  
Real Economy ◽  
Policy Makers ◽  
Contagion Effects ◽  
Market Contagion ◽  
Show Evidence ◽  
The Global Financial Crisis

This paper empirically investigates the contagion effects of the Global Financial Crisis (2007-2009) from the financial sector to the real economy by examining nine sectors of US and developed European region. We provide a regional analysis by testing stock market contagion on the aggregate level and the sector level, on the global level and the domestic/regional level. Results show evidence of global contagion in US and developed European aggregate stock market indices and all US sector indices, implying the limited benefits of portfolio diversification. On the other hand, most of the European regional sectors seem to be immune to the adverse effects of the crisis. Finally, all non-financial sectors of both geographical areas seem to be unaffected by their domestic financial systems. These findings have important implications for policy makers, investors and international organizations.

scholarly journals A Decade After the Global Financial Crisis: Lessons and Policy for International Stability

2020 ◽  
Vol 11 (2) ◽  
pp. 416
Author(s):  
Anjali Karol
Keyword(s):  
Financial Crisis ◽  
Economic Integration ◽  
Global Financial Crisis ◽  
Financial Security ◽  
Policy Responses ◽  
The Great Depression ◽  
International Stability ◽  
The Global Financial Crisis ◽  
The Impact ◽  
Global Financial System

The Global Financial Crisis of 2007-09 has been the most severe global shock after the Great Depression of the 1930s. A crisis of this order has changed the outlook on international socio-economic integration and concerns on financial security and global polity. As we are a decade after the crisis, it is instinctively imperative to relook and analyse the lessons learnt and the policy responses that helped ease the crisis. This paper is an attempt in that direction. Research over the years suggests that global financial system has evolved into a more innocuous network at limited unintended costs. Globally policy regulations have tightened to lessen the impact of future crises and today most countries have some form of macro-prudential surveillance.

Ten years after the global crisis: Risks and prospects

2019 ◽  
pp. 37-53 ◽  
Author(s):  
M. V. Ershov
Keyword(s):  
Economic Development ◽  
Financial Crisis ◽  
World Economy ◽  
Global Financial Crisis ◽  
Global Crisis ◽  
The World ◽  
The Global Financial Crisis

The article analyzes the situation in the world and in Russia 10 years after the global financial crisis. It is shown that with the observed growth of the world economy, global risks, on the contrary, have not diminished, but increased, which creates the threat of new failures. The measures that can be taken by Russian regulators to neutralize external risks and stimulate the economic development of the country are considered.

‘Skilful Handling and Scientific Treatment’: The Charity Organisation Society of Brisbane During the Great Depression

2010 ◽  
Vol 17 (2) ◽  
pp. 89-99
Author(s):  
Blake Singley
Keyword(s):  
Financial Crisis ◽  
Great Depression ◽  
Global Financial Crisis ◽  
The Great Depression ◽  
The Global Financial Crisis ◽  
Social Turmoil ◽  
The Impact ◽  
Scientific Treatment

During the Global Financial Crisis of 2009, many commentators drew parallels with the Great Depression of the 1930s. While the suffering of those Australians affected by the recent economic turmoil cannot be dismissed, the impact of the Global Financial Crisis on the nation as a whole was modest compared with that of the Great Depression. The levels of unemployment that were reached during the Depression, and the ensuing poverty and social turmoil, would be unlikely to occur today on the same scale due to welfare provisions set in place by government and charitable institutions.

Out of Work or Out of Time? Rethinking Labor after the Financial Crisis

2012 ◽  
Vol 111 (4) ◽  
pp. 621-641 ◽  
Author(s):  
Lisa Adkins
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Women's Labor ◽  
Female Labor ◽  
Global Crisis ◽  
Sexual Contract ◽  
The Social ◽  
Value Production ◽  
The Global Financial Crisis ◽  
A Site

Prior to the recent global crisis a consensus was emerging that post-Fordism had ushered in a new sexual contract, one characterized not by exclusion and containment, but by the prospecting for potential, a prospecting that located women’s labor not as a reserve for capital but as a site of vitality and possibility. The global financial crisis and ongoing recession, however, have been positioned as undoing these radical transformations in women’s labor by threatening a return of the social formations characteristic of Fordism. Yet in this essay I suggest that to understand the ongoing recession as producing such a return is to thoroughly misapprehend value production in post-Fordism and, in particular, to bracket the process of the folding of the economy into society. To illustrate this process, I focus on unemployment, specifically the eventful productiveness of unemployment in recessionary post-Fordism. Confronting this eventful productiveness necessitates not only a recognition of a material reworking of unemployment in post-Fordism, but also undoes the idea that the ongoing recession is linked to a return to the social formations of Fordism. This essay therefore posits that unemployment is a crucial site for the theorization of post-Fordist labor, including the ongoing, radical reworking of the potentialities of female labor.

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