Intersecting causes and consequences of capitalism's two great crises (The Great Depression of 1929 and the Financial Crisis of 2008)

The word crisis is identical to the words depression and recession. Crises are sudden positive and negative developments that affect unemployment, the general level of prices, and stagnation in world trade, especially in industry and the production of basic goods. In the interwar period (1929-1938), different policies were implemented in countries such as the USA, Germany, and France. Capitalist instabilities occurred between the two wars. The 1929 Crisis created a decline in the Western world that can be compared to the two world wars before and after. As a result of the speculations in the economy that occurred due to the excessive selling of stocks in the USA for profit, the New York Wall Street Stock Exchange crashed on October 24, 1929. After this event, known as Black Thursday, people wanted to get rid of their stocks in panic, and many sectors such as industry were affected. The 2008 Global Financial Crisis, on the other hand, began in the U.S. mortgage market and rapidly spread to the global banking system. This crisis was triggered by the bursting of a financial bubble caused by uncontrolled financial liberalization, leading to a severe global recession. İn this study, the main causes and consequences of the Economic Depression of 1929, one of the most significant economic crises of the 20th century, and the Global Financial Crisis of 2008, which occurred at the beginning of the 21st century, have been examined. Keywords Economic Crisis, Capitalism, Theories