Financial Upheavals Assignment Example | Topics and Well Written Essays - 250 words

Financial Upheavals - Assignment casefulOn the other hand, the Great Recession of 2008 is the most recent economic downturn in country, the pangs of which be being felt even today.Both these financial upheavals share similarities in terms of their causes and consequences. They led to protracted loan foreclosures, bank failures, high unemployment rates and a slump in manufacturing sector.The reason for the panic of 1819 tramp be attributed to the economic system of the United States (Rothbard 2002). It was the panic of 1819 that brought the grand economic expansion following the war of 1812 to an end. Inflation, debtors relief which was invariably tied with monetary schemes and a protective tariff played a frigid role in creating the situation of panic in the country at that time.On the other hand, the blast of the Recession of 2008 can be attributed to complex and interlinked factors. Sub-prime lending, loose monetary policy, global imbalances and lax financial canon were res ponsible for the latest financial upheaval that has had the entire world reeling.Proposal is hereby made to draw up a detailed paper which will compare and contrast these two historic financial upheavals the early and the latest to have rocked the United States of America with special emphasis on the role of the monetary policy in each