3. RECESSION OF 2001
The recession of 2001 was
caused by irrational
exuberance (joy enthusiasm )
in high tech.
In 1999, there was a economic boom in
computer and software sales caused by the Y2K
scare.
Many companies and individuals bought new
computer systems to make sure their software
was Y2K compliant.
4. It started with dot-com bubble in Stock.
All the investors invested in I.T. companies and
they wanted to gain more so they invested in top
rated companies. These resulted into the decrease
in stock prices of small I.T. companies which
spread the speculation of all I.T. companies going
into the loss.
This further resulted into the downturn into the
share prices of I.T. sector.
5. 9/11
Attack on twin towers
low down the share
market to 12%.
Its biggest loss since
depression of 1930.
Impact
6. SCANDALS
During these year many big organizations
namely Enron and worldcom spread the fake
news of their financial rates.
When these got revealed in public it gave a
great shock to economy even the stocks of
other reputed organizations experienced the
shocks