The Financial Crash of 1978 was an great worldwide economic crash. In the Crash, every nation lost over $400 billion dollars and the Stock Market lost over 90 percent of it's value. The Kingdom of Youngia, Jill, Easten, Terra, Accentabourne, Disamona, West Canipra, and East Canipra were the most heavily effected nations by this crash. The Market did not return to pre-Crash levels and values until 1989, eleven years later.
Preview, Causes[edit | edit source]
Since the end of World War II, the world economy heavily dropped. The Stock Market faltered and production dropped. The World Market experienced decline. In March 1972, the Jill economy scare of 1972 destoryed Jill's already faltering economy and increased worldwide slides. In January 1978, the Market collapsed. Investors each lost $500 billion dollars and every country about $400 billion dollars. The world debt increased by over two hundred percent. The Market closed at only 0.2% of it's orignal value. Soon millions were unemployed and companies gained billions of dollars in debt and closed. Economic reforms were enacted in Jill, but these rarely helped. World currency value dropped by eight thousand percent. Soon, all governments had debts of $900 trillion dollars. In 1980, every nation was poor and nearly bankrupt. World production had dropped by eight hundred percent and defecits climbed by eighty thousand percent.
In 1981, the economy started recovering. Debts dropped, inflation dropped, and stocks regained $40 billion in value. However, the economy was still poor. In January 1989, the economy finally fully recovered and stocks increased in value, thus ending the 1980's Economic Recession Scare.