MICROECONOMIC ASPECTS OF FINANCIAL CRISIS

Microeconomic Aspects of Financial Crisis



Microeconomic Aspects of Financial Crisis

Introduction

There are many aspects to the financial crisis: the losses incurred by banks and investors in complex financial assets and securities institutions; default households that borrowed and the associated losses for retail banking liquidity crisis due to problems with financing from banks and companies; in the board decline in the prices of risky assets. It is difficult to ascertain that the cause of this crisis, especially at the microeconomic (lack of transparency and liquidity of funds, weaknesses in the regulations, poor assessment and risk-sharing, etc.) or macroeconomic (in ...