Megacrash
Megacrash is a term used to describe a hypothetical, catastrophic collapse of the global financial system. It suggests a domino effect where the failure of one or more major financial institutions or markets triggers widespread panic and a rapid, uncontrolled decline in asset values across the board. The scenario typically involves a loss of confidence in the solvency of banks and other financial entities, leading to a severe credit crunch and a deep global recession.
The concept of a megacrash often draws parallels to historical financial crises, such as the Great Depression
While the likelihood and specific triggers of a megacrash are debated among economists and financial experts,