Financial Crisis in Iceland 2008
ASSIGNMENT
PRESENT A TIMELINE OUTLINING THE IMPORTANT ISSUES SURROUNDING THE CRISIS EVENT OF ICELAND
Student : Tran Minh Hieu
CU ID : 5942532
NIIE ID : B1131049
Course : 353FIN Date : June 27th, 2014
Assessor: Soumitra Chowdhury
TABLE OF CONTENTS
Page
INTRODUCTION 2
FINANCIAL CRISIS IN ICELAND 2
1. Events led up to the crisis. 2
1.1. Theory of financial crisis. 2
1.2. How did the theory work in Icelandic crisis? 3
2. Main causes of Icelandic financial crisis. 5
3. Aftermath and Resolutions. 6
3.1. Aftermath. 6 3.2. Resolutions. 7
4. Other resolutions. 8
CONCLUSION 9
REFERENCES 10
INTRODUCTION
Financial crisis in 2008 considered as the Global Financial Crisis in the world’s first exploded in the USA. According to economic experts, the crisis caused by the securitization and the housing bubble explode has struck directly not only American economy but also the economy of all countries around the world, especially countries in Euro zone such as: German, the UK, France, Iceland, Spanish, Russia, etc. (Encyclopedia Britannica, Inc. 2014) Nevertheless, the country firstly hit by this crisis is Iceland for numerous reasons. Therefore, this assignment will present the important issues surrounding the crisis event of Iceland: its principal causes, its aftermath and how it got out the crisis did.
FINANCIAL CRISIS IN ICELAND
1. Events led up to the financial crisis:
1.1. Theory of Financial Crisis:
Iceland is known as a small island in the North of England where the population is around 320 000 but its economy develops hard, especially in finance (Wikimedia Foundation, inc. 2014). However, when the financial crisis exploded in the late September 2008, Iceland was not only the first country hit but also the one influenced the most gravely in Europe. So how did this global crisis stroke the country and why was it hit in a grave way?
The keyword of this assignment is
PRESENT A TIMELINE OUTLINING THE IMPORTANT ISSUES SURROUNDING THE CRISIS EVENT OF ICELAND
Student : Tran Minh Hieu
CU ID : 5942532
NIIE ID : B1131049
Course : 353FIN Date : June 27th, 2014
Assessor: Soumitra Chowdhury
TABLE OF CONTENTS
Page
INTRODUCTION 2
FINANCIAL CRISIS IN ICELAND 2
1. Events led up to the crisis. 2
1.1. Theory of financial crisis. 2
1.2. How did the theory work in Icelandic crisis? 3
2. Main causes of Icelandic financial crisis. 5
3. Aftermath and Resolutions. 6
3.1. Aftermath. 6 3.2. Resolutions. 7
4. Other resolutions. 8
CONCLUSION 9
REFERENCES 10
INTRODUCTION
Financial crisis in 2008 considered as the Global Financial Crisis in the world’s first exploded in the USA. According to economic experts, the crisis caused by the securitization and the housing bubble explode has struck directly not only American economy but also the economy of all countries around the world, especially countries in Euro zone such as: German, the UK, France, Iceland, Spanish, Russia, etc. (Encyclopedia Britannica, Inc. 2014) Nevertheless, the country firstly hit by this crisis is Iceland for numerous reasons. Therefore, this assignment will present the important issues surrounding the crisis event of Iceland: its principal causes, its aftermath and how it got out the crisis did.
FINANCIAL CRISIS IN ICELAND
1. Events led up to the financial crisis:
1.1. Theory of Financial Crisis:
Iceland is known as a small island in the North of England where the population is around 320 000 but its economy develops hard, especially in finance (Wikimedia Foundation, inc. 2014). However, when the financial crisis exploded in the late September 2008, Iceland was not only the first country hit but also the one influenced the most gravely in Europe. So how did this global crisis stroke the country and why was it hit in a grave way?
The keyword of this assignment is
References: Bekaert, G., Hodrick, J. H., (2012) International Financial Management. 2nd edn. United States: Prentice Hall Encyclopedia Britannica, Inc Wikimedia Foundation, inc. (2014) 2008 – 11 Icelandic Financial Crisis [online] available from http://en.wikipedia.org/wiki/2008%E2%80%9311_Icelandic_financial_crisis#cite_note-EURISK-CBI-10 [20 June 2014] Wikimedia Foundation, inc