Global recessions are not “out-of-blue” events any more

English2019. nov 15.GOVERNOR MATOLCSY100WORDS

Columnist ’Free exchange’ of The Economist claims that recessions can indeed appear as if out of the blue /The Economist, August 24th 2019/.

Not anymore, in my view.

As for the last global financial crisis, the collapse of Lehmann Brothers triggered all the events leading to the fully-fledged American and European crisis.

Nevertheless, we had a long period between August 2007 and September 2008 when anything could happen and the due course of the next crisis was expected in 2010, not two years before.

Timing might have been decided by the outgoing American administration not by market forces.

Re “A crisis of faith”

Governor Matolcsy, MNB, the Central Bank of Hungary

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