The Financial Crisis and Its Impact on the Bulgarian Industry Cover Image

Финансовата криза и нейното отражение върху българската индустрия
The Financial Crisis and Its Impact on the Bulgarian Industry

Author(s): Dobrin Ganchev
Subject(s): Economy
Published by: Стопанска академия »Д. А. Ценов«

Summary/Abstract: The current economic crisis, that has begun in the United States, spread in Europe first and then in the rest of the world, has put the economic system and the global financial system established in the fifties of last century on test. It shows that the global economy at the beginning of the XXI century is not immunized against earthquakes and epidemics. The financial crisis has affected very quickly the other sectors of both separate countries and the entire global economy. Thus, the crisis turned from financial to an economic one. This led to a rapid deterioration of the industrial production, to reduction in the global trade, as well as to financial restrictions in the destructed global feedback. The biggest decrease in GDP on a world scale since the Great Depression was a natural result of the deteriorated situation. The main aim of this article is to highlight the most significant causes of the present crisis, to analyze its impact on the most important indicators of the economic activity in industry and to examine the impact of direct foreign investment (DFI) to overcome the negative effects of the economic crisis. The appropriate recommendations to minimize the negative effects of the crisis are made based on the conclusions found.

  • Issue Year: 2009
  • Issue No: 4
  • Page Range: 71-88
  • Page Count: 18
  • Language: Bulgarian