How Banks Can Overcome Disintermediation. Available: http://www.banktech.com/payments-cards/how-banks-can-overcome-disintermediation/240145542. Last accessed 9th march 2014.
The Financial Crisis of 2008 was the worst financial crisis since the Great Depression, however a lot of American’s want tougher law of be enforced against executives and companies they think started the mess (Jost/Misconduct). Civil charges have been brought up against major banks for misleading investors, but a federal judge rejected a proposed settlement saying it was too lenient (Jost/Misconduct). The flood of subprime mortgages roiling the housing market in the U.S. is also causing the worldwide credit crisis (Jost/Crisis). Investment banks everywhere are taking billion-dollar losses, forcing them to revalue their belongings (Jost/crisis). This crisis started under the surface for many years then emerged into the public in March 2008 when cash-strapped Bears Steams were being forced to sale to JP Morgan Chase; they did this for a worthless $2 a share (Jost/Misconduct).
According to USA Today, “Housing crisis deepens. Banks and hedge funds that invested big in sub prime mortgages are left with worthless assets as foreclosures rise. The damage reaches the top echelo... ... middle of paper ... ...ate wealth (GovermentStatSheet). Since then the American political economy has grown, strengthened, and reinforced the future since the learning period of 2008. The great recession is proven to be a point in time when financial funds didn’t exist but the United States government has analyzed and can now predict identical causes and annihilate them before they arise again.
Retrieved February 14, 2014 from http://schwab.com Parto, C. (2012, March 8). Protect Your Current Investments from Currency risk. Investopedia.com. Retrieved February 14, 2014 from http://www.investopedia.com/articles/forex/08/invest-forex.asp Kuiper, J. (2011, May 18).
Works Cited FASB Accounting Standards Codification. (2011). 944 Financial Services – Insurance. Retrieved May 27, 2014 from https://law.resource.org/pub/us/code/bean/fasb.html/fasb.944.2011.html Financial Accounting Foundation. (2009).
The 2007/2008 financial crisis is widely regarded as the worst financial crisis since the Great Depression. What began as a housing bubble and a rise in foreclosures, in the United States, lead to a domino effect of financial institutions collapse. What was named a credit crunch quickly became a full on financial crisis, pushing real GDP levels down to a negative 8,9% in 2008 (1), such figures had not seen since the Great Depression. This essay argues that President Barack Obama has taken the necessary steps to take the United States out of the “Great Recession” and that the US government’s response has been proven successful combining fiscal stimulus and hints of austerity and implementing them in the appropriate times. Despite the major efforts of the expansionary monetary policy of Federal Reserve program (Quantitative Easing) to prevent the banking system from collapsing (2), the economic crisis took its devastation toll.
IBISWorld launches hedge funds industry market report. Available: http://www.hedgeweek.com/2014/03/18/198773/ibisworld-launches-hedge-funds-industry-market-report. Last accessed 18/03/2014.