Crashes prompt regulatory shifts, as seen with the Panic of 1907 birthing the U.S. Federal Reserve, or reveal the impact of globalization, exemplified by the 1987 Black Monday Crash.
India's $1.3B securities scam left State Bank of India and other banks short, some insolvent due to unsecured loans to speculators in stocks and bonds.
The Dow Jones Industrial Average lost 9% of its value—nearly 1,000 points—on May 6, 2010. It was already down 4% in the afternoon when it toppled another 5% to 6% in minutes.