Suchergebnisse

The global economics goes cycle after cycle. After every boom follow recession, after every recession follow boom. Governments made different sollutions of their politics for every cycle of economics. The subject of research is the impact of financial crises on economics, the objective of the work – to sift the impact of financial crises on economics and to make the system of recovery of economics. In order to achieve this goal, are set these basics tasks: to analyse basic consequences of financial crises, to analyze basic means, which were made to recover economics, to analyze results of a few researchs, to make a forecast of recovery of economics in Lithuania and to compare with the recovery of the world. In this paper are presented basic financial crises from 1636. These financial crises are allocated related to their main reason. There are written the impact of financial crises and means, which were made by governments to help for countries and people. In theory, it is simple to know all the best means for economics, but it is difficult to practise them in specific country and situation. All means can affect economics not like it is necessary. The forecast confirm actual values with error of 1-3%. Because of this, the conclusion is made, that predictive values in 2010 happened in the world and in Lithuania too. The paper consists of three parts. The size of this paper is 45 pages. There are 6 tables and 14 pictures in this paper. 52 sources of literary are used.

The global economics goes cycle after cycle. After every boom follow recession, after every recession follow boom. Governments made different sollutions of their politics for every cycle of economics. The subject of research is the impact of financial crises on economics, the objective of the work – to sift the impact of financial crises on economics and to make the system of recovery of economics. In order to achieve this goal, are set these basics tasks: to analyse basic consequences of financial crises, to analyze basic means, which were made to recover economics, to analyze results of a few researchs, to make a forecast of recovery of economics in Lithuania and to compare with the recovery of the world. In this paper are presented basic financial crises from 1636. These financial crises are allocated related to their main reason. There are written the impact of financial crises and means, which were made by governments to help for countries and people. In theory, it is simple to know all the best means for economics, but it is difficult to practise them in specific country and situation. All means can affect economics not like it is necessary. The forecast confirm actual values with error of 1-3%. Because of this, the conclusion is made, that predictive values in 2010 happened in the world and in Lithuania too. The paper consists of three parts. The size of this paper is 45 pages. There are 6 tables and 14 pictures in this paper. 52 sources of literary are used.

Under conditions of open economy the Stability of the banking system of states operating under conditions of open economy them, including Lithuania, mostly depends on the condition of world economy and the state of fi­nancial markets. Therefore financial crises and their effect on the economies of countries and, stability of the fi­nancial sector are analyzed by scientists in different countries. In scientific researches analyzing on banking crises the crisis of the banking system in Sweden in the beginning of 1991 was at the time then an extraordinary phenomenon, as over time the Swedish banking system was considered stable and able to handle any crisis, and this forced the government of the country to undertake large scale operations to rescue the financial system of the country. The analysis of the reasons of the Swedish bank crisis reveals that bank regulation procedures and regulations rules to be used during a crisis have to be legalized. It is too risky to rely on quick decisions and measures adopted taken during a crisis and quick instruments as was the case in 1991 during the crisis in Sweden. Moreover, it is necessary to find Methods to reduce the tension between the bank creditors and its owners have to be found and help them find common solutions. The fact that the measures used to tackle the bank crisis in Sweden were effective and that the crisis management of crisis is presented as exemplary in scientific literature shows that during this crisis suitable. [to full text]

Under conditions of open economy the Stability of the banking system of states operating under conditions of open economy them, including Lithuania, mostly depends on the condition of world economy and the state of fi­nancial markets. Therefore financial crises and their effect on the economies of countries and, stability of the fi­nancial sector are analyzed by scientists in different countries. In scientific researches analyzing on banking crises the crisis of the banking system in Sweden in the beginning of 1991 was at the time then an extraordinary phenomenon, as over time the Swedish banking system was considered stable and able to handle any crisis, and this forced the government of the country to undertake large scale operations to rescue the financial system of the country. The analysis of the reasons of the Swedish bank crisis reveals that bank regulation procedures and regulations rules to be used during a crisis have to be legalized. It is too risky to rely on quick decisions and measures adopted taken during a crisis and quick instruments as was the case in 1991 during the crisis in Sweden. Moreover, it is necessary to find Methods to reduce the tension between the bank creditors and its owners have to be found and help them find common solutions. The fact that the measures used to tackle the bank crisis in Sweden were effective and that the crisis management of crisis is presented as exemplary in scientific literature shows that during this crisis suitable. [to full text]

Under conditions of open economy the Stability of the banking system of states operating under conditions of open economy them, including Lithuania, mostly depends on the condition of world economy and the state of fi­nancial markets. Therefore financial crises and their effect on the economies of countries and, stability of the fi­nancial sector are analyzed by scientists in different countries. In scientific researches analyzing on banking crises the crisis of the banking system in Sweden in the beginning of 1991 was at the time then an extraordinary phenomenon, as over time the Swedish banking system was considered stable and able to handle any crisis, and this forced the government of the country to undertake large scale operations to rescue the financial system of the country. The analysis of the reasons of the Swedish bank crisis reveals that bank regulation procedures and regulations rules to be used during a crisis have to be legalized. It is too risky to rely on quick decisions and measures adopted taken during a crisis and quick instruments as was the case in 1991 during the crisis in Sweden. Moreover, it is necessary to find Methods to reduce the tension between the bank creditors and its owners have to be found and help them find common solutions. The fact that the measures used to tackle the bank crisis in Sweden were effective and that the crisis management of crisis is presented as exemplary in scientific literature shows that during this crisis suitable. [to full text]

Under conditions of open economy the Stability of the banking system of states operating under conditions of open economy them, including Lithuania, mostly depends on the condition of world economy and the state of fi­nancial markets. Therefore financial crises and their effect on the economies of countries and, stability of the fi­nancial sector are analyzed by scientists in different countries. In scientific researches analyzing on banking crises the crisis of the banking system in Sweden in the beginning of 1991 was at the time then an extraordinary phenomenon, as over time the Swedish banking system was considered stable and able to handle any crisis, and this forced the government of the country to undertake large scale operations to rescue the financial system of the country. The analysis of the reasons of the Swedish bank crisis reveals that bank regulation procedures and regulations rules to be used during a crisis have to be legalized. It is too risky to rely on quick decisions and measures adopted taken during a crisis and quick instruments as was the case in 1991 during the crisis in Sweden. Moreover, it is necessary to find Methods to reduce the tension between the bank creditors and its owners have to be found and help them find common solutions. The fact that the measures used to tackle the bank crisis in Sweden were effective and that the crisis management of crisis is presented as exemplary in scientific literature shows that during this crisis suitable. [to full text]

Cyclical economical growth is natural and unavoidable phenomenon, at the same time the less amplitudes of economical cycles fluctuations are, the more attractive economy of a country is. Countries sustain ultimate difficulties when financial crises happen in a certain country. Latterly such crises mostly come into play as the prices bubble burst. The current financial crisis started from the crisis of secondary dwelling credits in the USA. After prices bubble burst it has spread worldwide and unavoidably claimed following victims: crashed two most famous underwriting banks of the world Lehman Brothers and Merrill Lynch, two biggest mortgage banks of the USA Fannie Mae and Freddie Mac, substantially fell down all stock indexes. It is evident that the world realizes the extent of this problem and probable results because similar crises had place during XX century. They impacted on economical and political regional course of that time rather strongly. But modern economies of various countries are involved in more noticeable degree, so forthcoming consequences of this crisis will be rather heavier. It is interesting how in such circumstances banks and other financial institutions manage their assets in financial markets. Also the question is whether an object of the better property diversification wouldn't become the ground for a financial markets fall. Research object – stock market during financial crisis period. Purpose of this study is to explore and summarize theoretical nonfiction and design an investment portfolio hedged from cyclic economic fluctuations. Exposition of financial bubble theories, their significance for economics, mean reason, different interpretation of bubbles analysis, stable market sector identification, and portfolio formation helps to gain the purpose. In the first part nonfiction is analyzed seeking to find leading financial bubble theories. In reference to these theories, mean reason and consequence is outline here. This part also identifies basic government tools, which can help to reduce outcomes and prevent from financial crisis in future. In the second part investment criteria is brought to light, which is necessary for portfolio formation. Techniques for portfolio formation are analyzed. In the third part market sectors is analyzed with an aim to identify those who suffers least from cyclical economical fluctuations. Analysis has shown, that least impact from financial crisis was in sectors based on daily consumtion needs: consumer staples, health care and utilities stock market sectors. From these identified sectors portfolio has been constructed, which risk and return estimation compared with primary stock market indices of America, Eupope an Asia was much better. Otherwise gold as an alternative investment was better.

Cyclical economical growth is natural and unavoidable phenomenon, at the same time the less amplitudes of economical cycles fluctuations are, the more attractive economy of a country is. Countries sustain ultimate difficulties when financial crises happen in a certain country. Latterly such crises mostly come into play as the prices bubble burst. The current financial crisis started from the crisis of secondary dwelling credits in the USA. After prices bubble burst it has spread worldwide and unavoidably claimed following victims: crashed two most famous underwriting banks of the world Lehman Brothers and Merrill Lynch, two biggest mortgage banks of the USA Fannie Mae and Freddie Mac, substantially fell down all stock indexes. It is evident that the world realizes the extent of this problem and probable results because similar crises had place during XX century. They impacted on economical and political regional course of that time rather strongly. But modern economies of various countries are involved in more noticeable degree, so forthcoming consequences of this crisis will be rather heavier. It is interesting how in such circumstances banks and other financial institutions manage their assets in financial markets. Also the question is whether an object of the better property diversification wouldn't become the ground for a financial markets fall. Research object – stock market during financial crisis period. Purpose of this study is to explore and summarize theoretical nonfiction and design an investment portfolio hedged from cyclic economic fluctuations. Exposition of financial bubble theories, their significance for economics, mean reason, different interpretation of bubbles analysis, stable market sector identification, and portfolio formation helps to gain the purpose. In the first part nonfiction is analyzed seeking to find leading financial bubble theories. In reference to these theories, mean reason and consequence is outline here. This part also identifies basic government tools, which can help to reduce outcomes and prevent from financial crisis in future. In the second part investment criteria is brought to light, which is necessary for portfolio formation. Techniques for portfolio formation are analyzed. In the third part market sectors is analyzed with an aim to identify those who suffers least from cyclical economical fluctuations. Analysis has shown, that least impact from financial crisis was in sectors based on daily consumtion needs: consumer staples, health care and utilities stock market sectors. From these identified sectors portfolio has been constructed, which risk and return estimation compared with primary stock market indices of America, Eupope an Asia was much better. Otherwise gold as an alternative investment was better.

This article examines comovements between stock and government bond markets in the EU countries. Previous authors mostly indicated significant highly volatile comovements between the markets. In addition, it was proven in several markets that in times of financial crisis the comovements between financial markets are becoming stronger and negative correlations appear indicating flight-to-quality from stocks to government bonds. Despite of that, there exists a tendency to analyze only financial markets of Eurozone countries leaving the rest of the EU members behind. The aim of this research was to fill this gap by providing insights of co-movements between stocks and government bond markets of al thel EU countries together with recommendations for portfolio diversification. The first stage of the research was implemented by using Pearson's correlation coefficient. Logarithmic returns on 52 market indices were used for calculations of correlation coefficients in the period of 1993–2012. The second stage of the research included the estimation of correlations in the period of 2008–2013, commonly referred to as financial crisis. In addition, statistical significance of coefficients was evaluated by testing Fisher's null hypothesis. The results of the research show that majority of correlation coefficients between stock and government bond indices were rather small and not significant during the full sample period with the exception in financial markets of Greece, Hungary, Lithuania and Romania (weak-medium statistically significant correlations). The results indicate financial markets in the countries mentioned being more related than in the rest of the EU countries, not being suitable for diversification between asset classes. [.]

This article examines comovements between stock and government bond markets in the EU countries. Previous authors mostly indicated significant highly volatile comovements between the markets. In addition, it was proven in several markets that in times of financial crisis the comovements between financial markets are becoming stronger and negative correlations appear indicating flight-to-quality from stocks to government bonds. Despite of that, there exists a tendency to analyze only financial markets of Eurozone countries leaving the rest of the EU members behind. The aim of this research was to fill this gap by providing insights of co-movements between stocks and government bond markets of al thel EU countries together with recommendations for portfolio diversification. The first stage of the research was implemented by using Pearson's correlation coefficient. Logarithmic returns on 52 market indices were used for calculations of correlation coefficients in the period of 1993–2012. The second stage of the research included the estimation of correlations in the period of 2008–2013, commonly referred to as financial crisis. In addition, statistical significance of coefficients was evaluated by testing Fisher's null hypothesis. The results of the research show that majority of correlation coefficients between stock and government bond indices were rather small and not significant during the full sample period with the exception in financial markets of Greece, Hungary, Lithuania and Romania (weak-medium statistically significant correlations). The results indicate financial markets in the countries mentioned being more related than in the rest of the EU countries, not being suitable for diversification between asset classes. [.]

This article examines comovements between stock and government bond markets in the EU countries. Previous authors mostly indicated significant highly volatile comovements between the markets. In addition, it was proven in several markets that in times of financial crisis the comovements between financial markets are becoming stronger and negative correlations appear indicating flight-to-quality from stocks to government bonds. Despite of that, there exists a tendency to analyze only financial markets of Eurozone countries leaving the rest of the EU members behind. The aim of this research was to fill this gap by providing insights of co-movements between stocks and government bond markets of al thel EU countries together with recommendations for portfolio diversification. The first stage of the research was implemented by using Pearson's correlation coefficient. Logarithmic returns on 52 market indices were used for calculations of correlation coefficients in the period of 1993–2012. The second stage of the research included the estimation of correlations in the period of 2008–2013, commonly referred to as financial crisis. In addition, statistical significance of coefficients was evaluated by testing Fisher's null hypothesis. The results of the research show that majority of correlation coefficients between stock and government bond indices were rather small and not significant during the full sample period with the exception in financial markets of Greece, Hungary, Lithuania and Romania (weak-medium statistically significant correlations). The results indicate financial markets in the countries mentioned being more related than in the rest of the EU countries, not being suitable for diversification between asset classes. [.]

Four main financial market supervision models can be distinguished: functional, institutional, twin-peaks and integrated. Functional and institutional models are being changed by the twin-peaks and integrated supervision models. Majority of the Member States of the European Union apply integrated supervision model. Financial crisis usually encourage amending supervision model. The latest financial crisis is not an exemption. It has triggered a lot of reforms at worldwide, European Union and national levels. General trend of on-going regulatory changes and reforms is the increasing role of the state in the financial market supervision. Furthermore, performed analysis of legal acts changes and initiatives in the European Union, Member States and United States of America reveals a new emerging trend – the growing role of central banks in micro-prudential and macro-prudential supervision of financial market. The Republic of Lithuania also falls under this trend.

Four main financial market supervision models can be distinguished: functional, institutional, twin-peaks and integrated. Functional and institutional models are being changed by the twin-peaks and integrated supervision models. Majority of the Member States of the European Union apply integrated supervision model. Financial crisis usually encourage amending supervision model. The latest financial crisis is not an exemption. It has triggered a lot of reforms at worldwide, European Union and national levels. General trend of on-going regulatory changes and reforms is the increasing role of the state in the financial market supervision. Furthermore, performed analysis of legal acts changes and initiatives in the European Union, Member States and United States of America reveals a new emerging trend – the growing role of central banks in micro-prudential and macro-prudential supervision of financial market. The Republic of Lithuania also falls under this trend.

Four main financial market supervision models can be distinguished: functional, institutional, twin-peaks and integrated. Functional and institutional models are being changed by the twin-peaks and integrated supervision models. Majority of the Member States of the European Union apply integrated supervision model. Financial crisis usually encourage amending supervision model. The latest financial crisis is not an exemption. It has triggered a lot of reforms at worldwide, European Union and national levels. General trend of on-going regulatory changes and reforms is the increasing role of the state in the financial market supervision. Furthermore, performed analysis of legal acts changes and initiatives in the European Union, Member States and United States of America reveals a new emerging trend – the growing role of central banks in micro-prudential and macro-prudential supervision of financial market. The Republic of Lithuania also falls under this trend.

Four main financial market supervision models can be distinguished: functional, institutional, twin-peaks and integrated. Functional and institutional models are being changed by the twin-peaks and integrated supervision models. Majority of the Member States of the European Union apply integrated supervision model. Financial crisis usually encourage amending supervision model. The latest financial crisis is not an exemption. It has triggered a lot of reforms at worldwide, European Union and national levels. General trend of on-going regulatory changes and reforms is the increasing role of the state in the financial market supervision. Furthermore, performed analysis of legal acts changes and initiatives in the European Union, Member States and United States of America reveals a new emerging trend – the growing role of central banks in micro-prudential and macro-prudential supervision of financial market. The Republic of Lithuania also falls under this trend.