The Global Financial Stability Report

 

Use the globalEDGE™ website (globaledge.msu.edu) to complete the following exercise: The Global Financial Stability Report is a semiannual report published by the International Capital Markets division of the International Monetary Fund. The report includes an assessment of the risks facing the global financial markets. Locate and download th​‌‍‍‍‌‍‍‌‍‌‌‍‍‍‌‍‌‌‌‍​e latest report to get an overview of the most important issues currently under discussion. Also, download a report from five years ago. How do issues from five years ago compare with financial issues identified in the current report? This assignment should follow the written assignment guidelines for the course. Use 7th Edition APA format and cite your credible sourc​‌‍‍‍‌‍‍‌‍‌‌‍‍‍‌‍‌‌‌‍​es.

 

Sample Solution

The Global Financial Stability Report is an important source of information for understanding the current state of the global financial system. The report includes an assessment of the risks facing the global financial markets and provides insights into how these issues have changed over time. By comparing the reports from five years ago with those from today, it is possible to gain a better understanding of how economic issues have evolved in recent years.

According to a comparison of reports between 2015 and 2020, some major areas of concern have remained consistent throughout this time period such as systemic risk, capital flows and market liquidity (International Monetary Fund, 2020). Other more pressing concerns identified in 2020 include potential vulnerabilities related to rising national debt levels as well as uncertainty surrounding trade tensions between various countries (International Monetary Fund, 2020). Furthermore ,the report also notes that environmental factors are becoming increasingly prevalent which could exacerbate existing problems or create new ones (International Monetary Fund, 2020).

Overall then, it seems that despite some similarities there has been a significant shift towards different types economic risks over the past five years. This highlights both the complexity and dynamism of our current global economy which demands constant attention by policy makers if they are to ensure its continued stability . Additionally ,this also suggests that while many current issues remain unresolved ,it’s important to be aware that other potential dangers may arise in future making proactive policies all the more necessary.

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