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Thursday, 5 April 2018

Robert Jain: The 4 Most Impactful Financial Crises In History

By Jason McDonald


Finance, as a whole, is rich in history. From the various types of currency that have been used to the deals that businesses have made, it's easy to see that there is much for future agents and advisors to study. They should also be mindful of the biggest crises that occurred throughout history. Not only did people lost money during these periods, but their lives have been made harder as well. Here are the 4 biggest crises in question detailed by Robert Jain.

Dotcom Crash - During the late 90s to the early aughts, the dotcom crash took place during a period where technology was steadily growing. Due to this, there have been many Internet-based companies that began. Many of them couldn't sustain themselves, however, and they were forced to close. In fact, the stock of many large establishments drastically decreased. This stands as one of the greatest financial crises in the eyes of names like Bob Jain.

Wall Street Crash - Otherwise known as Black Tuesday, the Wall Street Crash impacted many in 1929. This stands as the biggest stock market crash in history, and the proof is in the pudding. During this time, many businesses failed and approximately 30 percent of the workforce lost their jobs. In simplest terms, finances were tight. This impacted individuals and families alike, and it would lead to the Great Depression, which we will discuss in detail later.

Global Financial Crisis - Otherwise known as the 2008 financial crisis, the global financial crisis is often seen as the second-biggest monetary blunder in the world. For those that don't know, during this period, banks weren't as regulated as they are now. Banks took what can now be seen as unnecessary risks, and it would eventually lead to a recession. Despite this impact, it doesn't stand as the single biggest crisis in the financial world.

Great Depression - Many experts cite the Great Depression as the greatest financial crisis in history, and for good reason. Following the Wall Street Crash, the United States entered an economic depression in 1929 that would last for a decade. Unemployment increased to 25 percent across the company, and those that had their jobs saw their pay either plateau or decrease. When Franklin D. Roosevelt, the U.S. President at the time, signed the New Deal, the economy began to improve.




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