The measures taken to overcome the global financial crisis and their consequences

This PhD dissertation analyses the factors leading to 2008 global financial crisis which affected numerous economies, beginning from the U.S., including those of European countries and aims to provide recommendations on the mistakes that need to be eliminated. In this study, the measures and regulations on financial structure developed for overcoming the 2008 crisis in the U.S., EU and other countries and the consequences of these measures and regulations were examined. The causes of the crisis and the consequences of the measures taken to come out of the crisis were addressed in detail and thus it was aimed to make contribution to the approaches that can be developed for prospective crises. It was observed that the crisis occurred due to economic policies that were launched with the liberalization of the financial system and the mistakes caused by the actions of certain economic actors which in return set the stage for the crisis. It was also deducted from the research that more effective and solid regulation approaches, surveillance and auditing systems as well as international collaboration gained in importance and were preferred more than liberalization and deregulation approaches in preventing the crisis. The crisis showed that financial stability was an outgrowth of price stability and that it was not enough to provide financial stability when it is set as a secondary target supposing that the financial system would spread the risks and thus regulate itself within an environment of financial liberation without any interventions. It was seen that to rebuild the economic stability and to fight against the impacts of the crisis in financial and social terms, the traditional monetary policy tools proved to be insufficient and that therefore it necessitated the implementation of non-traditional monetary policies and fiscal policies. For the detection of the performances of G20 countries in the post-crisis period, One-Way Analysis of Variance (ANOVA), and for the paired comparison of the countries "Sidak" Post Hoc Test was applied. While the countries applying expansionary monetary and fiscal policies during the initial phases of the crisis proved to be more successful at tackling the crisis, it was observed that those who failed to carry out a timely implementation of expansionary monetary and fiscal policies were less successful. Where the governments intervened effectively in the economic activities in countries such as South Korea, China and India, it was seen they could turn the crisis into an opportunity, whereas developed countries like Japan, France could not show recovery as fast as the developing countries.