Another point in understanding the background of the economic downturn is the panicked contraction of financial and economic activity stemming from the liquidity crisis since the  BIS Review 138/2009  1  autumn of 2008. Triggered by the failure of Lehman Brothers in September 2008, fund providers such as financial institutions and institutional investors became extremely cautious about the creditworthiness of their counterparties.
Nagging suspicions spread in many markets, and transactions became extremely inactive. Consequently, the funds necessary for economic activity did not circulate easily, and this, together with heightened anxiety among firms and households, reduced rapidly the global demand.