Financial Crisis and Current Trends on Global Market

Greed of financial institutions, poor assessments of rating agencies, massive issuing of insurance for credit risk covering, long-term inadequate monetary policy and poor regulations, on one hand, with simultaneous investments on the basis of wrong assumptions, on the other, are direct causes of financial crisis starting from the American market in 2007. It is concluded that occurred crisis is not a representation of the market or capitalism failure but a correction of market or of wrong market expectations caused by ignorance. After several decades, Keynes and principal postulates of his theory again became dominant and primary, this time, in solving of current economic crisis. If the effects of selected (interventionist) economic policy are negative, then the world will have an additional experience to consider while creating new measures and instruments of economic policy for solving potentially new crises in the future. Expectations related to overcoming the current crisis are different and expectedly, opposed. Optimistic forecasts have been proved wrong. Pessimistic forecasts discourage and do not lead the world economy out of the crisis in the near future.

Autorentext

Milica arevac was born on August 5, 1985, in Kragujevac, Republic of Serbia. She holds a PhD in Business and Management Science. She has been elected to the position of teaching assistant at University of Kragujevac, Faculty of Hospitality and Tourism in Vrnjci Spa. Her research interests focus on crisis management and special interest tourism.