regard to the economy under the crisis, understand very significant violations of its operation, leading to a general decline in overall activity in all its areas.As a rule, the economic crisis leads to a long-term reduction in production, consumption, accumulation of debts that can not be redeemed in the short term.The consequence of this is bankruptcy, increase in unemployment, the decline of GDP.

There are two main forms of the economic crisis.This is a crisis of overproduction and underproduction.The cause of the phenomena of the first kind is the accumulation of excessive amounts of goods in the market.Their appearance is caused by the desire of manufacturers to get more profits by expanding production.Under the conditions of a free economy and strong competition
is not possible to accurately predict sales volumes.Inability to dispose of the goods produced dictates the need for artificial stimulation of demand due to a sharp decline in prices.This leads to a reduction of production and bankruptcy of enterprises.The situation is aggravated by the fact that a lot of businesses, crashing into a crisis, open on borrowed funds.

underproduction crises are largely due to man-made with respect to the causes of the economic system.They arise due to events that disrupt the normal functioning of production, financial, transport and other systems of the state.It could be war, embargo, raw, natural disasters.

financial and political crises are often linked.However, they can also proceed completely independently.The political crisis in a general sense expressed in the volatile relations between the political forces at different levels and at different scales.Accordingly, it is possible to allocate domestic and foreign policy crises.The first arise locally in a single country.They are expressed in the weakening of the government, policy inconsistencies, often lead to a struggle for power, rebellion, revolt.

Interstate political crises arise from conflicts of interest in the various countries of the soil (territorial disputes section of international markets, etc.).Depending on the severity of disagreement political crises can be settled by diplomatic means or continue to evolve, turning into armed conflict.