ECONOMIC CRISIS IN ROMANIA. A BRIEF ANALYSIS

The purpose of this paper is to examine the effects of recent economic crisis on the Romanian economy. To support the argumentation, we use and process statistics data which we interpret in terms of conventional economic theory. The fundamental idea defended in this article is that the current economic crisis is the expected consequence of an unhealthy economic growth in the last decade. Although recorded high rates of growth of GDP after 1999, the national economy was based on overconsumption, the excessive lowering of interest rates and on high external deficits. The economic difficulties accumulated under high rates of economic growth of last years simultaneously exploded with the global financial crisis. Far from being caused by the market failure, the present economic crisis was the result of poor government management.