Was the gravest economic crisis since the big depression of the thirties predictable? Most of the experts have been caught off guard at how drastic the economic world was driven to an abyss during September and October 2008. Now, when we look back about what has happened, we get aware about subtle signs of warning that have occurred a long time ago. No crisis comes completely out of the blue.
Have we ever asked ourselves if it was possible to have predicted the occurrence of the most devastating financial and economic crisis since the Big Depression? Even most of financial analysts and experts were caught off guard by the drastic market decline during the months of September and October last year 2008. Looking back at the events the preceded the crisis, we find minor yet meaningful warning signs that could have led to the fallout. If only we had done something early, the crisis might not have occurred. Tsunamis develop from the gentlest of waves. Simply said, every big thing develops from small things. Equally, crises just don’t come out of the blue. Every predicament rises from smaller troubles. And no matter how minor, there are still signs to warn us of its coming. However, we do not pay attention. We only get wiser once the disaster is over.
This is why we must be observant even with the smallest details. We usually realize the early indicators of a calamity after it has happened and not before. However, we can draw some logical and plausible conclusions from the actual crisis. Hence, be wise and keen. If you are involved greatly in the financial community, consider all factors.