Asian Journal of Research in Business Economics and Management
  • Year: 2022
  • Volume: 12
  • Issue: 1

Causes and consequences of financial crises in 2007–2009

  • Author:
  • Saidova Subhinigor Azizovna1, Utbasarov Oybek2, Fazlitdinova Nozima3, Todjiyeva Malika4
  • Total Page Count: 8
  • Page Number: 32 to 39

1Lecturer, Department of Economics, Tashkent State University of Economics, Tashkent, Uzbekistan, Email Id: oybekutbasarov410@gmail.com

22nd Year Student, Department of Economics, Tashkent State University of Economics, Tashkent, Uzbekistan, Email Id: oybekutbasarov410@gmail.com

32nd Year Student Department of Economics, Tashkent State University of Economics, Tashkent, Uzbekistan, Email Id: oybekutbasarov410@gmail.com

42nd Year Student Department of Economics, Tashkent State University of Economics, Tashkent, Uzbekistan, Email Id: oybekutbasarov410@gmail.com

Online published on 8 March, 2022.

Abstract

This article provides an asymmetric information framework to understand the nature of financial crisis. It provides the following precise definition of a financial crisis: the best investment opportunities. As a result, a financial crisis could move the economy away from equilibrium with high output, where financial markets perform well to an equilibrium in which output falls sharply.

Keywords

Financial Crisis, Housing Industry, Collateralized Debt Obligation, International Monetary Fund, MBS, Federal Reserve