Financial Crisis Propagation

Minimizing volatility is an important objective stated by regulatory bodies and guvernments in our days. The high volatility of the international capital markets, and the narrowed capacity of handling this volatility, makes countries beneficiary of contagion and so vulnerable to shocks and crises. Nowadays, international capital markets appear to be extremely vulnerable to contagion. So understanding the contagion’s causes and its consequences is an important lesson to be told.