Insurances.net
insurances.net » Travel Insurance » 1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)
Auto Insurance Life Insurance Health Insurance Family Insurance Travel Insurance Mortgage Insurance Accident Insurance Buying Insurance Housing Insurance Personal Insurance Medical Insurance Property Insurance Pregnant Insurance Internet Insurance Mobile Insurance Pet Insurance Employee Insurance Dental Insurance Liability Insurance Baby Insurance Children Insurance Boat Insurance Cancer Insurance Insurance Quotes Others
]

1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)

1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)

1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)



Financial Crises have been a feature of the financial landscape for hundreds of years. They often appear with little warning as the Asian crisis of 1997-1998 and the sub-prime mortgage crisis of 2007. The Anatomy of Financial Crises: Understanding Their Causes (2007, Dec 6). The financial world is a complex place and it is unlikely that there is a single cause of anything we observe. It's not always clear for the general public as to what causes the crisis, whether they can be avoided and how their impact can be reduced.

In the media, investment professionals and financially minded people talk a bizarre lingo which makes the ordinary person in the street look around in search of some guidelines. Research in the field has shown that financial empowerment of south Africans has not been addressed by the education system as a whole. The result is financially uneducated society where people have little or no knowledge of their own money matters Swart, N. (2005, March). Why Financial literacy is a complete failure. [online].. The objective of this research is to analyze the level of the general public's understanding of the causes and implications of the financial crisis in South Africa. Deeper understanding of the crisis will enable the public to make sound and informed personal financial decisions.

As we all know the main roots of the financial crisis are the US housing market. The current housing and credit crisis has many, many underlying sources. Lenders, borrowers, and regulators are all at fault lenders through poor risk management, borrowers through excessive borrowing and over-valuation of real estate, and regulators through lax enforcement of the financial sector. (Goizueta, R. (2000, may 2). Stock market crash of 1929. [online]. But what happens to the poor during economic downturns triggered by financial crises? The conventional wisdom is that they not only become worse off but that they suffer disproportionately to the non poor. This issue is important because we know that South Africa, as the other developing and transition economies are especially prone to financial crises. Crises are expected to deepen poverty and worsen income inequality in a number of ways. Weaker economic activity as a result of financial crisis can cause workers' earnings to fall as jobs are lost in the formal sector, demand for services provided by the informal sector declines, and working hours and real wages are cut. When formal sector workers who have lost their jobs enter the informal sector, they put additional pressure on informal labor markets. (Goizueta, R. (2000, may 2). Stock market crash of 1929. [online]. 1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)


Questionnaires were distributed at shopping malls, taxi Ranks and other public areas to a randomly chosen 200 people who were above 18 years. The research reveals that 90% of respondents don't know what "sub prime mortgage" loans mean and 80% of the respondents don't know the meaning of "Recession". Only 15 percent of people are concerned about the impact of the current financial crisis on their pension and savings. Almost 65 percent choose income guarantees as a top financial priority. And at last more than 95 percent of the respondents would be willing to attend financial literacy training if offered for free and at convenient and safe place.

What we can learn from this figure is that the level of financial literacy is limited in South Africa. Fixing the credit crisis will not be easy and in the future as history repeats itself we will have many more crises. The main question is how can we equip the society of South Africa to tackle those problems and minimize the impact of such crisis on their daily lives? In conclusion, government, financial institutions and other profit and non profit organizations needs to promote financial literacy to the ordinary South Africans since raising people's awareness is good for the individual, good for the financial services industry and good for the society of South Africa as a whole.
1 Idea That Can Make An Impression On A Costume-rocker Halloween Costume 1. Extracurricular Activities: Study, Work, Travel and Have Fun 1 DAY MOMBASA CITY TOUR 1 Bedroom Luxury In Phoenix Az 08 Days Travel To Egypt With Nile Cruise Holiday 08 Days Luxury Travel To Egypt With Nile Cruise 08 Days Budget Travel To Egypt With Nile Cruise Holiday 05 the first half of the country top 30 U.S. ranked second chain 05 Days 04 nights Cairo and Alexandria Stop Over tour package "to Lanzarote, And Beyond!" Enjoy The Mysteries Of Africa From The Comfort Of Your Holiday "taste The Next Big Taste Phenomenon In Amelia, Italy." "rental In Umbria - The Autumn Travel Destination" "primo Vacations" A Full Review
Write post print
www.insurances.net guest:  register | login | search IP(54.198.108.174) / Processed in 0.014478 second(s), 6 queries , Gzip enabled debug code: 10 , 4220, 954,
1. Public understanding of the causes and implications of the financial crisis in South Africa by Millen Mehari (ISN - 978-0-620-43752-3)