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How did the financial crisis affect the economy?
The 2008 financial crisis impacted negatively on financial markets. Since the financial markets greatly affect the economy, various stakes were upheld and hence the stress on the economy. The impact was evident on the U.S stock market and the other financial institutions.
When did the financial crisis start and end?
The financial institutions became highly indebted just before the 2008 financial crisis set in. The institutions were hence vulnerable to the failure of the housing bubble. The economic tantrums became worse in precedence to the crisis. At this time, the U.S household debt hit 127 percent in 2007, up from 77 percent in 1990.
How is the financial crisis affecting South Africa?
The index indicates that domestic South African financial conditions have deteriorated substantially during the period under study and so the study investigates how this has impacted on the countrys economic growth. A VAR model with South African variables is specified
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