The financial crisis and its effects: Perspectives from economics and psychology

Abstract

The recent financial crisis has affected most countries. With cutbacks in business, trade and government spending, millions world-wide have lost their jobs, with young people disproportionately affected. This paper synthesizes the thoughts expressed during an interdisciplinary discussion held in July 2013 among economists and psychologists from a variety of countries about the causes and effects of the financial crisis. Strategies for dealing with the effects of the financial crisis are discussed at both the individual and national levels.