Home
| Economy financial crisis |
|
The economy crisis which has struck the world now has impacted immensely to almost everyone who is connected to financial world and that means everyone. There are so many people who have saved money for their bad phase and many more who are drowning deep in loans and mortgages as they wanted more money and profit for which they invested large amount of money when market was booming. The economy crisis which has struck the world is actually very misleading and the exact reasons are not very clear even after so many researchers and analysts are trying hard to figure out what exactly lead to global financial crisis. Some of the people have the view that it happened due to increase in oil and crude prices while other still believe that it happened due to war in Afghanistan. Few of the people believe that it's the conspiracy of the government and the big shot industrialists to swipe out the money from the retail market while other believe it's the last phase before the world war starts again. Well, it's just not the one reason but the combination of all the above factors and many more because such a big crisis
cannot happen due to just one reason where strongest of economy give up the fight and declare depression. There are many misleading factors which are still not very clear and few of the factors was the blinded investment done by the retail investors and the loans taken without thinking much about the future. This lead to sub prime crisis which then directly hit the America below the belt incurring one of the largest loss in housing and development sector. Large number of people converted as defaulters and many more could not pay the bills of the credit card amounting to shocking number of billions. Now the question is who will suffer the loss? Bank will suffer this loss but it relies up on whom for its revival? Government and this government have no other option but to save this bank from resting in peace forever as the economy of any country is measured by how strong is the banking sector of that company and also because large amount of investors relying up on these banks for their presents as well as future just cannot vanish all of a sudden one day. Economy crisis has lead to closure of so many companies of all ranges whether they are small business house or large. These companies suffered huge amount of loss due to rise in inflation which demanded the salary hike by the employees whereas the prices of the raw materials increased and the manufacturing units could not be utilised to its maximum everyday due to less number of orders which with time kept on decreasing. At one point of time break even point target could not be reached as well and than there was not many option left as there was business loans and other debts which were pending and needed monthly payment which could not be satisfied. Thus, economy crisis impacted on all whether they are big or small, consumers or producers. |
Discuss this item on the forums. (0 posts)
| < Prev | Next > |
|---|
Latest News
- Govt takes credit for exec crackdowns (Sky News Australia)
- Alcatel-Lucent, Credit Suisse, Hermes: Europe Equity Preview - Bloomberg
- Credit Suisse and Deutsche Bank Are Hiring, Expanding, WSJ Says (Bloomberg)
- Tax Credit Makes Wood Stoves and Fireplace Inserts More Affordable - Reuters
- Bank of America drops binding arbitration for credit card disputes (Los Angeles Daily News)