Review of Litterature on Finance and Potential Areas of Development Literature

Of Litterature on Finance and Potential Areas of Development for Further Reseaarch - Literature review Example Thus the concept of finance includes several underlying theories and understanding that make the system applicable towards the achievement of the financial goals and objectives of the business organizations or the world as a whole. The present study focuses on a literature review thereby discussing on the studies of several researchers on the topic of finance and would try to determine the potential areas of development for further research. Literature Review on Finance: The following literature review has been based on the studies conducted by several researchers as obtained from journals and different articles. These literatures have been particularly focused on the severe issue of economic and financial crisis that is capable of impacting the entire world through the phase of recession. The studies have been based on the issues of the theories discussed by the researchers and no quantitative analyses have been involved. The study has been narrowed down in the sense that irrelevant materials have not been included in the review. Since the length of the paper has been limited, hence number of sources has been considered accordingly. However the researches have been analyzed critically determining their objectives, and the strengths and weaknesses of the studies. In terms of the purpose of the study, only those researches have been included that are appropriate and relevant to the financial literatures and readers would be able to relate to the issues relevantly. A study conducted by Christian Marazzi reflects an understanding of the financial crisis and the nature of the problems considering the transformation that have been taking place over the years. Marazzi is an Italian economist who conducted an analysis of the global crisis that he considered as a new type of crisis that involved neo-liberal financial capitalism. He focused on the problems related to finance that have been mounting up over the years. Concentrating on the recent global economic crisis, h e stressed on the level of unemployment and difficulties that the world was supposed to be encountered with. He mentioned that the financial deficits were leading to insolvency crisis hampering the banking system as a whole. In this regard he criticized the easy solutions considered by reformists. (Bria, 2009, pp.388-394). Marazzi’s study can be considered to be focused and relevant to the issues and impacts of financial crisis. He has tried to related theoretical aspects with the prevailing financial status across the world. However it can also be said that the study could be tried to be more specific in determining the measures that might effectively resolve problems associated with financial crises. Similar to Marazzi’s the study conducted by Barsky and DeLong lacked the wide ranging aspects and approach to specific measures in the context of financial crises and their impacts. Barsky and DeLong in their studies discussed about the fluctuations of the stock markets. According to them, fluctuations in the stock market are reflected by the asset pricing model that considers the present-value concept in the context of the efficient markets. The fluctuations that have been visible in the US financial markets over the years have been obtained to be in consistence with