Boards’ inability to effectively self-regulate firms Prior to the GFC, poor regulation by boards left financial institutions vulnerable to economic downturns. Short-term profits and market share were the primary concern of banks, with Chuck Prince, former CEO of Citibank, declaring “while the music is playing, you have to dance”. 
While the Global Financial Crisis originated in developed countries, developing countries were not immune to its effects. Reduced foreign investment, trade and remittances had a significant impact on the economies of the world’s poorest countries. The crisis manifested itself in growing budget and trade deficits, currency devaluations, higher rates
Deutsche Bank has been scrutinised and surrounded by controversy in relation to its conduct leading up to the Global Financial Crisis. However, when the facts are distilled from the myths and stigma, what is revealed is an admirable recovery by the institution, despite tumultuous economic times and the bad publicity.
Australia, a few key themes tend to spring up: success, the theories of John Maynard Keynes, and increased production. A bit of context is in order. Firstly, Australia successfully avoided a recession during one of the most impactful global crises in decades. Secondly, John Maynard Keynes is the mind behind
Australia has imported capital for most of its history, which has allowed investment to consistently exceed the volume of domestic savings. As a result, Australia has enjoyed the benefits of a larger capital stock which, through lifting the amount of capital per worker, has resulted in a more productive workforce,
Common explanations put forth for the financial crisis of 2007-2008 have been rather simplistic, scratching the surface of issues caused by decades of structural changes in the global economic environment. One widely held understanding of the crisis nominates the vast sub-prime mortgage default in the USA as the primary catalyst.
In January 2009, in the midst of the Global Financial Crisis, Olivier Blanchard, then Chief Economist of the International Monetary Fund, wrote “Crises feed uncertainty. And uncertainty affects behavior, which feeds the crisis. […] [Uncertainty] affects consumption and investment decisions, and is largely behind the dramatic collapse in demand we have