Global Economic Crises And The Poor Governance Of The Global Monetary System

2475 Words10 Pages
Since the Great Depression, the world has not witnessed an economic crisis on the scale of the current crisis. This is to the extent of it being referred to as the Great Depression of the 21st century. The crisis has resulted in a number of questions, most of which revolve around the interaction of political and economic forces in global economic management. It is difficult to point at one specific factor as a cause for the economic crisis, on the basis of arguments presented by a substantial number of commentators. What is meant here is that the economic crisis that has engulfed the world is a result of a wide range of gaps in political and economic governance. It is imperative to observe that the globalized economy of contemporary times encourages economic interdependence. However, it is the economic interdependence that has resulted in the replication of economic problems from one country or region to other countries and regions. This essay discusses the causes of the current global economic crises and the poor governance of the global monetary system. It is important to begin with the observation that the global economic crisis, which was marked by the great recession, began with problems in the management of monetary regimes at national and international levels. Angelides & Thomas (2011) opined that the global financial crisis was an effect of either action or inaction on the part of the people who were responsible for the management of the global monetary system. The
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