The impact of the crisis manifested in financial markets on economic growth. A comparative analysis of Romania and Bulgaria

Abstract

The global financial crisis affected the international financial markets, having a general effect on the economies of EU member states: Romania and Bulgaria. Because of the economic instability of the last two years, many investors are also following the evolution of the GDP in making decisions for their stock portfolio. The study is going to present the relationship between the stock indices’ values of the two countries and the GDPs, for underlining and verifying a possible link, based on information from 2008 and 2009. The results obtained will test the causal relationship, and formulate some conclusions regarding the influence of the global financial crisis on the economic loss of the two countries.