The effects of the Asian crisis did not extend to countries in other parts of the world such as Latin America, Europe, and the United States.

Question

Quizplus · Accepted Answer

This statement is false. The Asian crisis did have some impact on other parts of the world. For example, it led to a drop in commodity prices which affected Latin American countries heavily dependent on exports. In addition, the crisis caused a panic in global financial markets that spread to other regions, causing a decline in investor confidence and a reassessment of risk in emerging markets. This had knock-on effects on economies in Europe and the United States.

The Effects of the Asian Crisis Did Not Extend to Countries