Global Financial Crisis Technological Innovation Glottalization is Cure or Curse

2. Muhammad Shahzaib
Chaudary Farhan
Nouman Asif
Sheikh Ehtisham
Syed Raza Shah

3. Global Financial Crisis
Technological Innovation
Globalization is Cure or Curse

4. Main causes of Finacial crisis are
Deregulation of the International Markets:
 Due to elimination of government power in
the market, market player like banks deicide
their own interest rate result in financial crisis
at 2008.

5. Subprime Mortgage Crisis:
 banks, and insurance companies caused the
Subprime Mortgage Crisis.
 occurred when banks sold too many
mortgage to feed the demand for mortgage-
backed securities sold through the secondary
market.

6.  Housing price increase during 2000-2005,
followed by a leveling off and price decline.
 Increase in the default and foreclosure rates
beginning in the second half of 2006 due to
the Fed’s manipulation of interest rates during
2002-2006

7.  The financial crisis triggered a global economic
recession that resulted in more than $4.1 trillion
in losses
 unemployment rates that climbed to more
than 10 percent in the United States and higher
in other countries and increased poverty.
 Stock markets around the world crashed.

8.  Consumers reduced their spending,
manufacturing declined, global trade
diminished.
 Furthermore, the financial crisis weakened
some countries more than others,
 American investors lost roughly 40 percent of
the value of their savings
 Collapse of major investment banks in 2008.
 Collapse of stock prices in 2008.

9.  The global financial crisis affected virtually all
area including the process of globalization.
 Housing prices crashed
 Unemployment
 manufacturing declined sharply
 students were faced withhigher costs as colleges
suffered financial losses

10.  The impact of breakthrough technologies on
foreign affairs can be seen through
accelerating transformation in five significant
areas:
 Security
 Institutions
 participation dialogue
 leadership.

11.  The information revolution from internet
cause great effect on international affairs
 Social media and online platforms drive
profound change in foreign policies

13. Globalization refers to the trend toward
countries joining together Economically,
through education, society and politics,
and viewing themselves not only through
their national identity but also as part Of
the world as a whole

14.  Increased free trade between nations
 Increased liquidity of capital allowing investors in
developed nations to invest in developing nations
 Corporations have greater flexibility to operate
across borders
 Global mass media ties the world together
 Increased flow of communications allows vital
information to be shared between individuals and
corporations around the world

15.  Reduction of cultural barriers increases the global village
effect
 Spread of democratic ideals to developed nations
 Greater interdependence of nation-states
 Reduction of likelihood of war between developed nations
 Increases in environmental protection in developed
nations. Greater ease and speed of transportation for
goods and people

16.  Spread of a materialistic lifestyle and attitude that sees
consumption as the path to prosperity
 International bodies like the World Trade Organization
infringe on national and individual sovereignty
 Increase in the chances of civil war within developing
countries and open war between developing countries as
they vie for resources
 Decreases in environmental integrity as polluting
corporations take advantage of weak regulatory rules in
developing countries

17.  Increased flow of skilled and non-skilled jobs from
developed to developing nations as corporations seek out
the cheapest labor
 Increased likelihood of economic disruptions in one nation
effecting all nations
 Corporate influence of nation-states far exceeds that of civil
society organizations and average individuals
 Greater chance of reactions for globalization being violent in
an attempt to preserve cultural heritage
 Greater risk of diseases being transported unintentionally
between nations