Abstract:
The Great Depression originated in the United States (US), but quickly spread to Europe and the rest of the world. It was the longest and deepest downturn in economic activity in modern history. It is clear that one of the main causes of the crisis was the uncertainty in financial sector. The Depression caused massive levels of poverty, hunger, unemployment and political unrest. Drawbacks in economy such as shrinking domestic and overseas demand, delaying government intervention during the crisis, Goldman off-shore deals assumed that the market forces would regulate the deterioration without intervention, but deepened the crisis. Due to having globalized economy, 2008 Global Financial Crisis has severely caused adverse impacts on the life, income and employment of rural people. This study compared causes and consequences of both Great Depression and 2008 crisis and deterioration effects of 2008 Crisis on the economic downturn of rural people were analyzed in terms of selected countries which were under the deep influence of the increasing food prices, decreasing migrants’ workers’ remittances, increasing unemployment rates, and slowdown economic growth.
