The recent financial crisis started in 2007 and is a worldwide international economic problem trigge

The recent financial crisis started in 2007 and is a worldwide international economic problem trigge

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The recent financial crisis started in 2007 and is a worldwide international economic problem triggered by a liquidity loss in the banking system which began in the United States. This crisis has resulted in the fall and bankruptcy of some of the largest international financial institutions and rescue of the financial lending industry by national governments worldwide. The downturn in the economy and the fall of Stock Markets around the world is considered by many economists to be the most awful financial crisis since the Great Depression of the 1930s. The crisis contributed to the collapse of key businesses, declines in national wealth estimated in the trillions of U.S. dollars. This economic era has been referred to as "the Great Recession”. The crisis was sparked by the cave in of a global housing bubble which peaked in the U.S. in 2006. This bubble burst led to the values of many securities fixed to real estate prices to plunge thereafter. Consequently, this damaged financial institutions all over the world and
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This note was uploaded on 03/06/2010 for the course ECON fin121 taught by Professor Peck during the Fall '10 term at Academy of Design Tampa.

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