Economic crises in history, the characteristics of the most recent crisis and its effects on the economy of azerbaijan

The developed and the developing countries of era is experiencing the period of industrialization and information & technology simultaneously. Given this environment countries get closer and the financial markets cross the physical boundaries. Production and competition centered evolution brings up the term called “globalization” in the literature. Globalization comes with both positive and negative effects. One of the most solid negative consequences of globalization is economic crises. Since the great depression of 1929, the crises have had different characteristics. In 1929 the system was based on trade of goods but over time, trade of goods changed into trade of money centered on the financial markets which indirectly affects the real economy. After the Second World War, direction was given by financial organizations such as IMF and the World Bank in the financial markets and WTO in trade. Current account deficits, extreme consumption, public income generation problems result in stand-by agreements with the IMF and triggered recessions or crises are felt not only be the developed countries but also most dramatically by the developing countries.

Economic Crisis ,

Azerbaijan ,

Globalization Great Depression ,

Crisis Management ,