Advances in Economics, Management and Political Sciences

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Proceedings of the 7th International Conference on Economic Management and Green Development

Series Vol. 34 , 10 November 2023


Open Access | Article

2008 Financial Crisis and Systemic Risk Regulation

Hesheng Chen * 1
1 Antai College of Economics & Management, Shanghai Jiao Tong University, Shanghai 200240, China

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 34, 19-26
Published 10 November 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Hesheng Chen. 2008 Financial Crisis and Systemic Risk Regulation. AEMPS (2023) Vol. 34: 19-26. DOI: 10.54254/2754-1169/34/20231668.

Abstract

During the post-pandemic era, whether Covid-19 will cause a financial crisis is one of the key issues. Some research are done about the relationships between the Covid-19 crisis and the 2008 financial crisis, but there still exists much blank about mechanics and explanations in this field. This paper first focuses on the 2008 financial crisis, analyzing key factors attributing to such a serious financial crisis, giving suggestions in response to factors found, and then comparing the 2008 financial crisis to the Covid-19 crisis to give some warnings. In the course of analyzing key factors, this paper concludes with previous research and uses the game theory model to show why the policy of the government is indispensable. As to give responses, this paper takes the Dodd-Frank Act and Basel III for example to show how people deal with key factors found before and then gives some supplementary suggestions. The conclusion of this paper is that the 2008 financial crisis was the result of constantly aggressive monetary policy and people’s lack of awareness of risks and proper regulation. The by comparing the Covid-19 crisis and the 2008 financial crisis, this paper thinks the Covid-19 crisis won’t be serious if the Fed is careful about constantly aggressive monetary policy and the government strictly implement policies like the Dodd-Frank Act and Basel III.

Keywords

financial crisis, systemic risk, regulatory responses

References

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Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 7th International Conference on Economic Management and Green Development
ISBN (Print)
978-1-83558-089-9
ISBN (Online)
978-1-83558-090-5
Published Date
10 November 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/34/20231668
Copyright
© 2023 The Author(s)
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated