Global Financial Crisis - Possible Causes, Policy Responses And Global Consequences

The paper is focused mainly on the causes and consequences of the recent financial crisis. The paper in this context discusses government and/or other institutions' policy responses to current financial crisis and their possible outcomes. The paper considers the role of central authorities in the age of globalized financial markets, faced with a rapid growth in financial markets innovations. The ongoing global financial crisis will serve as inspiration for many books, papers or analyses in the years to come. None of these analyses can disregard the direct contribution of government interventions to the market system as one of the major causes of the crisis.