Consequences and possible solutions of financial crisis

Financial crisis do not end overnight, but it takes some time until all effects disappear. Most of the time, the period in which the consequences of financial crisis manifest is characterized by: persistent and deep collapses of stock market, deep cuts in production and employment and explosions of government debt whose main cause is, actually, the inevitable fall of tax revenue suffered by the State as a result of deep and prolonged output contractions in the economy. Thus, in this article we want to analyze the main consequences of the financial crisis and possible solutions offered by international institutions, especially monetary and fiscal policy decisions.