The main cause of the 2008 economic crisis was excessive debt.

It has been five years since the collapse of the Lehman Brothers investment bank in the United States, but the world still has not found an antidote to the fundamental cause of the financial crisis—over-indebtedness. Far from predicting the crisis, most economists, central bankers and regulators believed that continued low inflation would ensure financial stability.

One reason for the lack of foresight is the indiscriminate admiration of financial innovation; another reason is the inherent structural flaws of the euro area. But the most fundamental reason is ignorance of the high debt that has been accumulated for decades, and the private sector is even more so than the public sector. Extended information

Second causes of the 2008 economic crisis:

1. Insufficient risk control in the banking industry: The main crux of the financial crisis is first of all the insufficient risk control in the banking industry, which has caused many Loans flooded the financial system, dragging down the entire banking system.

2. Economic vulnerability brings political vulnerability: The global financial crisis triggered by the subprime mortgage crisis has brought serious disasters to the economies of various countries, directly leading to increased unemployment, increased poverty and social stability. , safety is reduced. The BRICS countries have shown great immunity mainly because they have proposed counter-cyclical macro-control policies based on stimulating domestic demand growth, which have effectively alleviated the volatility of economic activities.

People's Daily Online - Rethinking·New Enlightenment: What was the fundamental cause of the 2008 financial crisis?