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In this recent history it an issues which has which has affected the entire world and brought miseries to both the poor developing and the rich developed countries together is none other than global economic recession 2008. The debate rages over the endgame for the Great recession. The broad consensus of policy makers, financial market participants, business leaders and academics concurs that the world is in the midst of its world decline the 1930s. In making such comparison, there is a presumption that another depression is a distinct possibility steps were not takes to contain the downward spiral. The point here is that the problem started in the world’s largest 14 trillion USA economy. The financial loss to the investment banks has estimated to be around $ 50 trillion. Even though corrective steps were taken immediately after National Bureau of Economic Research announced that USA is under recession from December 2007, the measures were not sufficient enough to stop the recession and it spreads to the entire globe. Even thought the impact of recession is more or less same to the entire worlds, the relief package sanctioned by countries from varies from one country to other. USA Congress passed $787 billion, China sanctioned $586 Billion, the German government is providing close to $500 billion ($747 billion) to bail out the banks. IMF sanctioned $1.1 trillion (but the actual impact would be $5.5 trillion) and India sanctioned only 7.47 billion along with a lot of tax cuts etc, to revive downtum economy. Most of the counties decided to spend at two per cent of their GDP to reactivate their economies. Central banks are flooding the markets with low-interest capital, and yet banks remain extremely reluctant to issue new loans, even for creditworthy projects. This, in turn, has led to companies putting their investment plans on hold and a growing feeling of uncertainty among consumers. Because trust has been essentially destroyed in the financial and credit markets, banks, companies and companies and consumers are hording their money instead of lending or spending it. This behavior leads to Keynes described ask a “liquidity trap” in the economy. In the end, massive government expenditures, paid for with public debt, are needed to resolve the crisis. In this edited book on “Global Financial Crisis Its Impact on Indian Economy” the authors analyzed the cause and the consequences of global economic recession 2008 in a detailed manner from their own points of view. The contributors are responsible for their comments made in their respective papers. The editor will not take any responsibility for the shortcomings. Their editor will not take any responsibility for the shortcomings. Their arguments and discussions are systematically arranged in this book and it would be much useful to the academicians, policy makers, research scholars, banking and financial institutions and the industrialists both in India abroad.
ISBN - 9788183873093
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Pages : 364
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