Causes and Effects of the Global Financial Crisis - A Comparative Analysis of Previous Financial Crises

The purpose of this paper is to analyse the causes and effects of the global financial crisis and to reveal its common features and unique factors by comparing financial crises in different historical periods. The study shows that excessive leverage, inadequate financial regulation and international capital flows are the main causes of the crisis, while policy failures, external shocks and internal vulnerabilities are the unique background of each crisis. Financial crises had far-reaching macroeconomic, financial market and socio-political impacts, leading to slower economic growth, rising unemployment, collapsing market confidence and social unrest. In order to effectively respond to financial crises, countries should strengthen financial regulation and risk control, improve the international financial system and enhance national economic resilience. Through the implementation of comprehensive policy measures and enhanced international cooperation, the global economy can better respond to the challenges posed by the financial crisis and lay the foundation for long-term prosperity and stability.