Question

What is meant by Financial Turmoil ? What are the types of Financial Turmoil ?

Answer 1

In a financial crisis, asset prices see a steep decline in value, businesses and consumers are unable to pay their debts, and financial institutions experience liquidity shortages. ... Afinancial crisis may be limited to banks or spread throughout a single economy, the economy of a region, or economies worldwide.

Answer 2

Answer:

Stock market crashes, credit crunches, the bursting of financial bubbles, sovereign defaults, and currency crises are all examples of financial crises. A financial crisis may be limited to a single country or one segment of financial services, but is more likely to spread regionally or globally.