The Adverse Impact Of The 2008-2009 Financial Crisis

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Taking into consideration the adverse impact of the 2008-2009 financial crisis we have examined main governmental policies used to prevent future economic fluctuations and its instruments for reducing crisis ramifications. Although methods are numerous, most of them proved their deficiency and ineffectiveness. In particular, traditional monetary policy cannot be a sufficient incentive for economic recovery anymore. Unconventional monetary policy, in its turn, is a two-edged tool with unpredictable after-effects. The third branch called macroprudential approach has the most favorable prospects in the future as it ensures the policy is consistent and draws attention to the microeconomic level.

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