Glossary外国文学名著导读 (11).ppt

Discussion What is your view on the following picture? 5.3 Financial Crisis The term?financial crisis?is applied broadly to a variety of situations in which some financial assets suddenly lose a large part of their nominal value. In the 19th and early 20th centuries, many financial crises were associated with?banking panics, and many?recessions coincided with these panics. Other situations that are often called financial crises include?stock market crashes and the bursting of other financial?bubbles,?currency crises, and?sovereign defaults.? Financial crises directly result in a loss of?paper wealth?but do not necessarily result in changes in the real economy. Question to Explore Can you list some severe financial crisis in history, especially 20th century? Hint Panic of 1901– limited to crashing of the New York Stock Exchange 1910 –?Shanghai rubber stock market crisis Wall Street Crash of 1929, followed by the?Great Depression– the largest and most important economic depression in the 20th century 1973 oil crisis?– oil prices soared, causing the?1973–1974 stock market crash ?Black Monday (1987)?– the largest one-day percentage decline in stock market history 1989–91 –?United States Savings Loan crisis 1990 –?Japanese asset price bubble?collapsed 1992–93 –?Black Wednesday?– speculative attacks on currencies in the?European Exchange 1997–98 –?1997 Asian Financial Crisis– devaluations and banking crises across Asia Question to Ponder What might be the effects of Financial crisis on US economy? Hint The output of goods and services produced by labor and property located in the United States—decreased at an annual rate of approximately 6% in the fourth quarter of 2008 and first quarter of 2009, versus activity in the year-ago periods. The U.S. unemployment rate increased to 10.1% by October 2009, the highest rate since 1983 and roughly twice the pre-crisis rate. The average hours per work week declined to 33, the lowest level since the government began collecting