based on your understanding of why Do Financial Crises Occur and why are they so damaging to the economy? compare between the current crisis(2020) and the economic and financial crisis in 2007-2008, write the points that they are similar and the points that they are different

your points for comparison should includes

1- talking about the crises stages(i attached the stages photo below)

2- what meet these points from 2007-2009 crises(U.S. residential housing FIs balance sheets The shadow banking system *Global financial markets The failure of major financial firms) what meet them in 2020 crises

3- does it have to do anything with the interest rates

4- shed the light on another countries (Europe countries ....) , will the EURO AND THE USD survive??

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**here I attach the stages that the comparison should discuss

STAGE ONE Initial Phase Deterioration in Financial Institutions Balance Sheets Asset-Price Decline Increase in Uncertainty Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts STAGE TWO Banking Crisis Economic Activity Declines Banking Crisis Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts Economic Activity Declines STAGE THREE Debt Deflation Unanticipated Decline in Price Level Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts Economic Activity Declines Factors Causing Financial Crises Consequences of Changes in Factors STAGE ONE Initial Phase Deterioration in Financial Institutions Balance Sheets Asset-Price Decline Increase in Uncertainty Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts STAGE TWO Banking Crisis Economic Activity Declines Banking Crisis Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts Economic Activity Declines STAGE THREE Debt Deflation Unanticipated Decline in Price Level Adverse Selection and Moral Hazard Problems Worsen and Lending Contracts Economic Activity Declines Factors Causing Financial Crises Consequences of Changes in Factors