Financial Crisis and its Effect on Psychological Well-Being, Health, Satisfaction, and Financial Incapability, A Systematic Review

Background and Objectives: The decline in GDP caused by the global economic recession of 2008 and that caused by the COVID-19 pandemic has resulted in the poor economy of countries around the globe with increased rates of unemployment and adverse job conditions. This systematic review aims to identify the impact of a Financial crisis on Psychological well-being, Life satisfaction, Health Satisfaction, and Financial Incapability. Methodology: The literature included in the review was searched from Feb 1, 2023, to March 26, 2023, by using the PUBMED database as the search engine. Studies discussing the impact of the financial or economic crisis on psychological well-being, Health, Life satisfaction, and Financial Incapabilities published in the English Language were included in this review whereas systematic reviews and metanalysis, case reports, articles published in languages other than English and articles with limited access were excluded. Result(s): Of the 26 articles found eligible for the study, there were 22 Quantitative studies, 2 qualitative studies, and 2 Mixed Method Studies. Most of the articles included in this study discussed the Global Economic crisis caused by COVID-19 and the Global Financial Crisis of 2008. Almost 80% of the studies included in this review discussed psychological well-being and the prevalence of psychological disorders including Depression, Anxiety, Stress, Fear, Loneliness, Burnout, and Suicide whereas the rest of the articles discussed mortality regarding mental disorders. Conclusion(s): Financial crisis or economic recession results in an increased prevalence of common mental disorders affecting psychological well-being by increasing rates of unemployment and adverse job conditions. Policymakers with competitive financial behavior and knowledge are essential elements for psychological well-being and life satisfaction.Copyright © 2023 Lahore Medical And Dental College. All rights reserved.

Discussion of "The Asymmetric Impact of COVID-19: A Novel Approach to Quantifying Financial Distress across Industries".

The COVID-19 pandemic crisis and the associated lockdown measures have exerted significantly adverse effects on corporate sectors globally. Archanskaia et al. (2023) provide a novel empirical strategy to timely assess corporate financial distress in the EU. The contribution is two-fold. First, this paper's notion of financial distress considers both the equity position and corporate indebtedness. Second, the methodology proposed in this paper allows the authors to estimate corporate financial distress in the EU at a highly granular level and link micro-level simulations to sectoral macroeconomic outcomes. The methodology employed by Archanskaia et al. (2023) consists of three steps. First, the authors apply a nowcasting model to acquire monthly industrial turnover data. Second, they feed the obtained monthly industrial turnover into a profit-generating process via an accounting identity to estimate monthly firm profits at the firm level. Third, the authors use the estimated firm profits with a snapshot of information on pre-existing liquid assets to deduce the firm-level liquidity needs and the depletion of equity through the focus period during COVID-19. These estimated results on firm equity position and indebtedness enable the authors to quantity corporate financial distress in the EU via various angles (e.g., country-level heterogeneity, industry heterogeneity, and the targeting of COVID support policies). The primary advantage of this approach is that it deals with large datasets at the granular level and produces firm-level results almost in real-time. Therefore, it can help policymaking track the effects of crises over time. However, one can quickly critique this three-step approach for its susceptibility to the usual Lucas critique. That said, since the objective here is to estimate firm-level financial distress, a large structural model being more or less aggregate in nature, though able to mitigate the Lucas critique concern, will encounter significant challenges in estimating firm-level results with the requisite level of granularity offered by the available data. Therefore, I broadly concur with the authors' position that 'the specific contribution of this paper consists in striking a better balance between the need to carry out a multi-country evaluation of the pandemic's effects on industrial activity in a strongly integrated region like the EU and the difficulty of capturing time, industry, and country variation in turnover with sufficient granularity.'

Suicidal Economy of Turkey in Times of Crisis: 2018 Crisis and Beyond

This article aims to explain the political-economic character of the increasing suicides in Turkey since 2018 that stem from indebtedness, poverty, and unemployment. It frames the acts as economy-relevant suicides to emphasize the embeddedness of these suicides within the neoliberal transformation and its consequences at the global and national levels. In this regard, the study traces the trajectory of neoliberalism in Turkey from 1980 to the COVID-19 pandemic, and critically evaluates the political and economic decisions of the Justice and Development Party (AKP) government to reveal the causal links with the increasing number of suicides. The study argues that two aspects of neoliberalization have paved the way for the post-2018 suicides: the declining political and economic power of the working class and the outcomes of financialization such as long-term unemployment and indebtedness. Thus, it argues that economy-relevant suicides are pathologic but depict political character, regardless of their effectiveness as a political strategy, given the consequences of the neoliberal transformation and political choices in due course. [ FROM AUTHOR] Copyright of Critical Sociology (Sage Publications, Ltd.) is the property of Sage Publications, Ltd. and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full . (Copyright applies to all s.)

Corporate Restructuring Laws Under Stress: The Case of Spain

The COVID-19 crisis caused an unprecedented global disruption of economic activity, which was especially intense in Spain due to the nature of its economy. Many legal and institutional reforms were adopted, and extraordinary economic measures implemented. As interim reforms are lifted and economic incentives wear off, Spain will need to grapple with the economic damage caused by the pandemic. Arguably, the reform of the insolvency system recently approved, which precedes and is independent of the measures enacted to stave off risks caused by the pandemic, provides an enhanced and improved framework to deal with business insolvency. Spain now counts on a state-of-the-art hybrid restructuring system and a modern regulation to deal with the financial and economic distress of micro enterprises. However, the special legislation approved during COVID, and the side effects of the economic measures came with a cost and are already interfering with the day-to-day application of the new insolvency system, especially concerning public claims and public guarantees. Further, the Spanish legal framework has still some shortcomings which might prove a real hindrance to resuming access to credit at adequate levels. [ FROM AUTHOR] Copyright of European Business Organization Law Review is the property of Springer Nature and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full . (Copyright applies to all s.)

The impact of the pandemic on sports companies: comparative rate analysis of champions league and Turkish football companies

Today, when sports have become a very important sector for the economy, football, which is one of the favorite elements of the sports sector, has a very large financial position among other sports branches. Many different organizations such as UEFA also contributed to this position. In this study, the effect of the Covid-19 epidemic, which was declared a pandemic by the World Health Organization on March 11, 2020, on football clubs was analyzed through the financial statements of football clubs. In the research, the ratio analysis method was applied through the financial statements of the three football clubs in the category of UEFA champions league leaders as of 5 May 2021 and the football companies traded in the BIST for the periods 2017, 2018, 2019, 2020, and 2021. As a result, it has been revealed that all clubs were affected negatively compared to the pre-pandemic period, but the three clubs, which are UEFA leaders, were less affected by the negative effects of the pandemic due to their strong financial resources and sporting successes. In the evaluation of the research, it has been revealed that Besiktas is the club with the best debt-paying power among the clubs in Turkey. It was evaluated that the net working capital of the other three clubs was negative. It is understood that the three clubs, which are the ranking leaders in 2021, have strong financial positions that do not differ much from each other. It is another result that the solvency and resource structures of Turkish football clubs and UEFA ranking leaders are far from each other. This situation is generally;It can be attributed to sportive success, the difference in the income balance and the increase in the exchange rate in our country.

Governmental Measures in Switzerland Against Mass Bankruptcies During the Covid-19 Pandemic

This article examines the impact of the Covid-19 pandemic on debt enforcement and insolvency law in Switzerland. Despite the absence of strict lockdown measures, many sectors of the Swiss economy suffered significant losses. The government responded by introducing generous public support schemes to keep businesses afloat. The article focuses on the modifications made to Swiss law during the pandemic to avoid mass bankruptcies and facilitate restructurings. The government first introduced a general stay of proceedings, preventing debt collection but not affecting the underlying obligation to pay, and later the Covid-19 Ordinance on Insolvency Law, which provided relief to companies, especially SMEs, to implement the necessary restructuring measures. Some unsuccessful initiatives, such as a special moratorium introduced for SMEs, are also discussed. Finally, the article considers the limited take-up of some of the insolvency measures and discusses the possible consequences of the obligation to repay Covid-19 loans in the future. Overall, it provides a comprehensive overview of the impact of the pandemic on debt enforcement and insolvency law in Switzerland and the measures taken to mitigate its effects.

Understanding social media users' engagement intention toward emergency information: the role of experience and information usefulness in a reciprocity framework

PurposeThe aim of this study is to investigate how social media users' experience of seeking emergency information affects their engagement intention toward emergency information with a reciprocity framework integrated with information adoption model.Design/methodology/approachDrawing on reciprocity theory, indebtedness theory, and information adoption model, an integrative research model is developed. This study employs a questionnaire survey to collect data of 325 social media users in China. Structural equation modeling analyses are conducted to test the proposed theoretical model.FindingsSocial media users' experience of seeking emergency information has a strong effect on their perceived information usefulness and indebtedness, while perceived information usefulness further influences community norm, indebtedness, and engagement intention. The authors also found that perceived information usefulness mediates the relationships between experience of seeking emergency information and community norm/indebtedness.Originality/valueThis study offers a new perspective to explain social media users' engagement intention in the diffusion of emergency information. This study contributes to the literature by extending the theoretical framework of reciprocity and applying it to the context of emergency information diffusion. The findings of this study could benefit the practitioners who wish to leverage social media tools for emergency response purposes.

Changes in household debt due to COVID-19 and mental health concerns among adults in Ontario, Canada.

BACKGROUND: Canadian households experienced unexpected changes in their economic well-being during the COVID-19 pandemic. The extent of the impact of the pandemic on household debt and its effect on health and mental health remains unknown. AIM: The aim of the study was to examine the associations of change in household debt due to COVID-19 with serious psychological distress (SPD) and general health measures. METHODS: Data were from the 2020 Monitor study, a repeated cross-sectional survey of adults 18 years and older in Ontario, Canada. The 2020 cycle employed a web-based panel survey of 3,033 adults. The survey included measures of change in household debt due to the COVID-19 pandemic, mental and general health. Odds ratios (OR) were estimated from logistic regression models accounting for sociodemographic factors. RESULTS: Overall, 17.5% of respondents reported that their household debt increased due to the COVID-19 pandemic. Such an increase in household debt was significantly associated with SPD (OR = 2.92, 95% CI, 2.05-4.16), fair/poor mental health (OR = 2.02, 95% CI, 1.59-2.56), frequent mental distress days (OR = 1.80, 95% CI, 1.31-2.48), fair/poor general health (OR = 1.93, 95% CI, 1.47-2.52), and suicidal ideation (OR = 3.71, 95% CI, 2.41-5.70) after adjusting for potential confounders including education, income and employment. CONCLUSIONS: Household debt during the COVID-19 pandemic is an important determinant of health. Individuals who reported an increase in household debt due to COVID-19 were more likely to report serious mental health concerns including suicidal ideation. This suggests that debt-related interventions may be needed to alleviate the adverse effects of indebtedness on health.

Stacking-based modelling for improved over-indebtedness predictions

In a world now starkly divided into pre- and post-COVID times, it's imperative to examine the impact of this public health crisis on the banking functions - particularly overindebtedness risks. In this work, a flexible analytics-based model is proposed to improve the banking process of detecting customers who are likely to have difficulty in managing their debt. The proposed model assists the banks in improving their predictions. The proposed meta-model extracts information from existing data to determine patterns and to predict future outcomes and trends. We test and evaluate a large variety of Machine Learning Algorithms (MLAs) by using new techniques like feature selection. Moreover, models of previous months are combined in order to build a meta-model representing several months using stacked generalisation technique. The new model will identify 91% of the customers potentially unable to repay their debt six months ahead and enable the bank to implement targeted collections strategies. Copyright © 2022 Inderscience Enterprises Ltd.

Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru

Financial inclusion remains a key political issue. Since microcredit first captured public attention, Microfin-ance Institutions (MFIs) have expanded rapidly all around the world. Although much economic and fin-ancial literature has highlighted the importance of microfinance as a factor of development, there is also an intense debate about its effectiveness as a development tool. This paper is a descriptive analysis of the microcredit state of the art contrasted with the fieldwork done in Peru. A qualitative research methodo-logy was used;29 in-depth face-to-face interviews were done with different microfinance agents: MFIs, NPOs, microfinance associations, and microfinance customers in Peru. Peru has been chosen because it has a dynamic and well-regulated microfinance sector with more than 70 entities specialized in microfin-ance. Though statistical generalization is not possible, interview data provided rich and contextual evidence, which is often missing from a quantitative research approach. This paper highlights the importance of fin-ancial and accounting education in microcredit beneficiaries and how can it be enhanced in the digital age. The COVID-19 pandemic has forced vulnerable population to embrace new digital technologies and has highlighted the digital gap that still exists in Latin America although this situation presents opportunities and challenges. This present study contributes to the debate over how to improve microcredit interventions ' impact on the more vulnerable and identifies some unique insights into the interrelationships of financial education and financial inclusion. The results of the present study confirm that financial and accounting education are key elements in financial inclusion. (c) 2023 ASEPUC. Published by EDITUM -Universidad de Murcia. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

Online consumer behaviour, financial education and over-indebtedness: first thoughts on the Proposal for a Directive on Consumer Credit COM/2021/347final

On 30 June 2021, the European Commission proposed a new Directive on consumer credit (COM (2021) 347 final) which aims to modernise and strengthen, at European level, the protection of consumers who take out credits and which, if approved, will repeal the current Directive 2008/48/EC. Digitalisation has made it possible to disseminate new ways of acquiring credit, through online platforms, and has changed the way in which banks assess a consumer's creditworthiness, using automated decision-making systems and obtaining non-traditional data, both for obtaining credit and for purchasing goods or using services. The revision of the Directive is also the result of new developments brought about by the COVID-19 crisis. This article has the main objective of analysing the proposed Directive in relation to consumer behaviour in the digitalisation of retail financial services for the purpose of obtaining credit to purchase goods and services on the market. It also aims to assess whether, and to what extent, the solutions contemplated in the Proposal solve the issues of financial information (generally not easily understandable and of high technical complexity that the consumer clearly does not decipher) and consumer over-indebtedness. The problem is all the more pertinent since it is certain that both can compromise the objectives outlined for the development and consolidation of the internal market, above all in cross-border transactions. We conclude that this proposal will strengthen the legal protection of consumers in particularly difficult times, but that their vulnerability remains. Consumers sometimes adopt irresponsible online behaviour and are increasingly dependent on detailed and explained information from lenders. Some measures already result from the law in force and are enshrined in the proposal, but as they are insufficient and ineffective, it is recommended that they be strengthened in the new directive. © 2022 Seventh Sense Research Group®.

Stacking-based modelling for improved over-indebtedness predictions

In a world now starkly divided into pre- and post-COVID times, it's imperative to examine the impact of this public health crisis on the banking functions - particularly over-indebtedness risks. In this work, a flexible analytics-based model is proposed to improve the banking process of detecting customers who are likely to have difficulty in managing their debt. The proposed model assists the banks in improving their predictions. The proposed meta-model extracts information from existing data to determine patterns and to predict future outcomes and trends. We test and evaluate a large variety of Machine Learning Algorithms (MLAs) by using new techniques like feature selection. Moreover, models of previous months are combined in order to build a meta-model representing several months using stacked generalisation technique. The new model will identify 91% of the customers potentially unable to repay their debt six months ahead and enable the bank to implement targeted collections strategies.

Cambodia's Response to COVID-19 and its Socioeconomic Dimensions

Cambodia is among the countries with the lowest incidence rate of reported COVID-19 cases. However, the global economic turmoil is generating deep economic and social implications within its borders. This chapter discusses the emerging socioeconomic challenges along with the government intervention in response to the new scenario. The macroeconomic analysis covers the main channels whereby the Cambodian economy is deteriorating and discusses how the country's rebound is subject to the performance of its major allies. Likewise, the chapter delves into the microeconomic effects, emphasising the subsequent social ramifications, especially among the most vulnerable demographics. It is argued that the current government measures are insufficient to mitigate the growing poverty levels and needs of the population. © 2022 by World Scientific Publishing Co. Pte. Ltd.

Household Financial Fragility During COVID-19: the Power of Financially Literate Women

This paper analyses household financial fragility during the COVID-19 pandemic. Considering the barging theory in households' decision-making, this paper proposes that women's financial literacy and their involvement in paid and unpaid work will influence family financial fragility in times of crisis. The results show that women's financial literacy, their participation in the labour market, and their financial independence have a significant and positive effect on the family's financial situation during the pandemic. Moreover, the level of women's unpaid work was identified as a significant element that jeopardizes family financial stability. The results further support the bargaining power theory regarding a better understanding of the complexity of decision-making within households. The results point to a new channel for preserving family financial stability, through the improvement of women's financial literacy and the development of institutional and social support for their participation in the labour market.

COVID-19’s Impact on the Restaurant Industry

The restaurant industry contributed to the creation of wealth and employment until the end of 2019, when it reached maximum values. However, with the COVID-19 pandemic in early 2020, this sector suffered a very serious economic and employment crisis. The analysis of this situation is imperative to mitigate the consequences for the restaurant industry and to prevent impacts in future crises. The main purpose of the present study is to compare the years 2019 and 2020, analyzing the profitability, payroll costs, headcount, and indebtedness of the restaurants, to verify the COVID-19 pandemic’s impact in Spain and Portugal. Quantitative research was applied, where a descriptive analysis and hypothesis testing were conducted. SABI database was the secondary data source used in this research. The results show that the COVID-19 pandemic has had an impact on profitability, efficiency, and indebtedness in the restaurant industry, being a generalized situation in both countries, in all regions except for Ceuta. The results also confirm the importance of this study for managers and academics since all the variables under study worsened with the COVID-19 pandemic. This study represents a contribution to managers and stakeholders in the restaurant sector by allowing the comparative evaluation of each restaurant with the average of the variables by location and the definition of proactive strategies. Practical implications are proposed to mitigate the effect not only of COVID-19 but also of other pandemics or economic crises that may arise in the future, preparing managers and stakeholders to adapt to change and promoting the financial sustainability of the restaurant industry. It is recommended to increase the disclosure of statistical indicators and financial ratios of free access, which allows the improvement of the analysis of different variables that are important for professionals in the restaurant industry. © 2022 by the authors.

Why have UK universities become more indebted over time?

Media reports of a financial apocalypse facing some UK universities were rife around the onset of the covid-19 pandemic, with much of the blame for their apparently perilous monetary situation levelled at excessive borrowing. This study examines the extent to which higher education institutions in the UK have become more indebted over the past decade and determines the factors that explain why some universities have borrowed more than others. We find that universities with vice chancellors who are older, higher paid, and who have been in their roles for a shorter time, on average have greater levels of indebtedness. We do not observe significant relationships with institutional borrowing for the gender of the vice chancellor, or their previous experience as a deputy vice chancellor or having previously held the top role elsewhere. Among university characteristics, only the level of total assets has any explanatory power for indebtedness, and not its overall institutional ratings score, whether it is a member of the Russell Group, or its total number of students.

Macroeconomic trends in public healthcare and risk management in the period to 2025

Healthcare, economic and social crises deepened globally and in Bulgaria as a result of the Covid-19 pandemic. Questions about the future of public healthcare have become relevant for public health managers, who often have to work with inadequate financial resources in an environment of increasing expectations from society. What risks lay ahead? Are there macroeconomic foundations to solve these profound problems or will they deepen in the period 2022 to 2025? Would it be prudent to raise debt levels in Bulgaria to the brink of bankruptcy? Would it be necessary to raise taxes for employees, including medical personnel, to overcome the crises? The purpose of the current article is to analyse the macroeconomic environment and key financial indicators in Bulgaria and the EU, and use the analysis to propose risk management strategies to increase healthcare funds in an unprecedented demographic crisis without raising debt and government taxation.

Financing sport post-COVID-19: using Modern Monetary Theory (MMT) to help make a case for economic recovery through spending on sport and recreation. (Special Issue: Managing sport and leisure in the era of Covid-19.)

This commentary aims to explore the challenges of financing sport in light of the economic and health questions posed by the COVID-19 outbreak. Governments will have to spend large sums of public money to stimulate recovery;therefore, it is asked: how should sport and recreation spending be part of recovery plans? The case of the Montreal Olympics debt and deficit disaster is re-examined. It is argued that if the federal government (a currency issuer) underwrote the games many of the issues that followed may have been avoided. Therefore, this commentary challenges sport and leisure scholars to think about how sport and recreation could be part of the solution when fiscal policy is becoming the preferred antidote to the social and economic consequences of the Coronavirus pandemic.

Compounding crises of social reproduction: Microfinance, over-indebtedness and the COVID-19 pandemic.

The COVID-19 pandemic has hit at a time when microfinance is at its historical peak, with an estimated 139 million microfinance customers globally. Cambodia's microfinance sector is one of the fastest growing, and like others in the Global South has moved from offering entrepreneurial capital to everyday liquidity, and even disaster relief. In this Viewpoint, however, we argue that the promotion of microfinance as market-based relief and recovery from the pandemic should be a source of concern, not comfort. We firstly suggest that as a result of the health and economic impacts associated with COVID-19, credit-taking is likely to escalate further in terms of the number of borrowers and loan amounts. Second, we contend that a growing reliance on MFIs will leave households undernourished, and further vulnerable to its disciplining and extractive impulses. Third, we argue that the interplay between over-indebtedness, pre-existing malnutrition challenges, and the global public health crisis of COVID-19 represents a major challenge to gender equality and sustainable development. Coordination between the Cambodian government, microfinance lenders, international investors, and development partners is vital to offer debt relief. Furthermore, to reverse the reliance of so many households on the microfinance industry for survival, inclusive socio-economic policies and public welfare services must be prioritised.