Business Intelligence

The Relationship Between The Current World Crisis And Global Imbalances

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Executive Summary

The world economy currently experiencing the largest decline in the postwar period and dominated by a financial crisis that swept in a record time around the world. Many developed economies have entered into recession, the rest of slowing economies, and significant growth. International trade and global monetary and financial flows show a significant contraction, while unemployment has increased considerably. Nature of the current crisis events can be reported in a precedent - in particular, the current situation of financial crisis combines the most advanced economies in the world with a time of global economic contraction. But financial crises or periods of global economic contraction are not a novelty. Therefore, the past can be a useful way of understanding this.

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