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It’s been a difficult year for economics all over the world. With the tumble of the United States economy, in large part due to the absolute plummet of America-based stock markets, including the NASDAQ, a ripple effect was set into motion that reached further than many analysts could have predicted. While many talking heads experts recommended that it wasn’t a time to sell back in October of 2008, as the picture became clearer, many financial gurus were left scratching their heads in confusion.

Imagine then, the surprise at the turn that the global economy has taken in the past couple of years. People have watched in horror as bank accounts dwindled, companies were shuttered, and loans and credit became something that was increasingly difficult to maintain or apply for a new version of. However, it’s no surprise that after the events set in motion by the United States economy a couple of years back in the mortgage game, the world economy is currently recoiling

The reason that a global stock market could be brought down by a single country is simple: percentage of wealth of that one country compared to the entire world. The United States is a major global economic player, and it is a wonder that the stock market crash of the NASDAQ didn’t have more of a ripple effect around the world. As it is, enough countries were brought to the brink of bankruptcy, including many seen as stable, such as Iceland.

While in the past, the markets might not have been tied together as strongly, with globalization in all areas, especially business, things are a little different now. Markets depend on one another because nations depend on one another. Nations do a great deal of business, relying on one another for markets and raw materials, but more importantly, companies invest in each other’s markets.

Part of the reason that the last crash impacted so many countries worldwide is that, instead of simply investing in national markets, many different investors of all tiers go outside of the country to other markets around the world. With an already fuzzy business of regulation, it gets even more confusing when people are working through international banking institutions.

What’s surprising is that no one was there sounding the alarm louder when the slip started to take place. After all, the United States has survived one Great Depression and dodged a financial bullet in the 1980s. There were supposed to be systems in place to stop things from getting to the point where worries were justified, let alone the point where the federal government has to step in and international leaders are wringing their hands.

The most recent mess was further helped along by people bailing out immediately, with no concern for local governments stressing the importance of the system keeping participants. Many banks in Europe and the United States tanked or were on the brink of tanking, requiring extensive government bailouts that are doing their own personal number of large nation’s economics, and thus, the global economy as well.

While many people chalk their confusion of recent economic events up to simply not understanding, the fact of the matter is that even those people who understand are surprised at the turn that events have taken, and at how far markets were allowed to fall before government stepped in to intervene. While playing the stock market used to be a pastime worth recommending, now is not a good time to start in with investing, regardless of if the market turns bear or bull.

Damian Papworth loves stock market trading. It is a big part of his work from home income.