The purpose of this paper is to examine the banking industry of Nepal from 2005 to 2010 to track the causes of banking crisis of 2011 using theories of macro-economics and finance as a conceptual starting point. In 2011, several commercial and development banks faced severe liquidity crisis that caused panic in the general public. Banks lost large amount of money in their loan and investment portfolios, which compelled the Government of Nepal to inject liquidity in the market. In the recent past years leading to the banking crisis of 2011, there was rapid change in the size and activity of banking industry. This paper analyzes changes that occurred in the financial market in the period of 2005 to 2010 that triggered the banking crisis. The roles of remittance, credit expansion and asset bubble have been analyzed in terms of their connection to the liquidity crisis.

The study is an informative presentation of both qualitative and quantitative values observable in Japan today. By utilizing two uniquely distinct fields of study, I hope to gain greater context of Japan’s economy and its contemporary challenges. With close focus on ethnographical studies, I hope to derive potential relationships and develop further context for quantitative results highlighted in previously published economic studies. Ethnography provides an intimate look into specific groups, culture or subcultures in Japan. With emphasis on close observations, interviews, and field notes, empirical studies like that of many ethnography papers provides an intimate scope into the lives of Japanese people. Detailed publications of Japanese people and their daily lives should be valued with equal relevance to that of quantitative results. Moreover, in response to the stagnancy and demographic challenges highlighted by policy makers and political parties, I believe the value of ethnographical publications will continue to grow. Japan struggled to develop effective policies to combat issues of falling birthrates, an aging population and shortages in labor.

The aim of this work is to describe the phenomena of bubble in the financial, but especially in the real estate market; based on gained information, the current situation of Chinese real estate market is described. This work is divided into theoretical and more practical part. The theoretical part is devoted to the definition of bubble, bubbles in asset market, real estate market bubbles specifics and its causes analysis, identification and implications for the economy. Also, the Japanese real estate bubble is described. The second part describes the evolution of Chinese real estate market and provides overview of the milestones in its evolution. Moreover, it deals with specifics of the Chinese real estate market and explains the factors behind the rise in prices. Further in second part, situation on Chinese housing market is compared with the one in Japan during real estate bubble. Furthermore, this thesis explains how state government can coordinate, regulate and intervene on the market and comes up with short-term outlook.