The US Economic Crisis HiranJ 9 Oct 2008 Session content • • • • • The sub prime market and sub prime crisis Housing Mortgage Fraud CDS – Easy money! Wall Street in Turmoil The bailout plan The Sub Prime Market • What is the sub prime market? – Sub prime lenders • Lends to borrowers that do not qualify for mainstream lending by FannieMae/FreddieMac • Lending rates are usually high • Has prepayment penalties • One of the common lending terms is 2/28 ARM The Sub Prime Market • 2/28 ARM • ARM
Premium Subprime mortgage crisis
What Caused Economic Crisis? Readers Questions: What are the factors that makes today’s economic crisis? Which of them are the most important in today’s economic crisis? Some of the most significant factors in causing today’s economic crisis: · A glut of saving from Asia. A glut of savings poured into US and similar countries like UK. This kept US interest rates low and encouraged high levels of consumer spending in US. It encouraged a large current account deficit in the US. It also encouraged
Premium Subprime mortgage crisis Mortgage Subprime lending
On October 16th‚ 1962‚ both the United States and the Soviet Union partook in a thirteen-day impasse concerning the construction of nuclear missile sites located in Cuba‚ merely 90 miles away from the coast of Florida‚ known as the Cuban Missile Crisis. Realizing exactly how close this installation was‚ President Kennedy and the Executive Community‚ a group of fifteen members meant to advise the president and commonly recognized as Excomm‚ convened for the next twelve days in hopes to solve the dilemma
Premium Cuban Missile Crisis Cold War Soviet Union
Strategic Analysis of the 2004 LEGO Group Crisis Abstract LEGO Group is a worldwide‚ well-known toy manufacturing company. In 2004‚ the company was faced with a major financial crisis and a major decision to make. Do they try to save the business or not? Through strategic analysis of the company’s external and internal environments‚ many contributing factors became evident. External Analysis The external environment facing LEGO “consists of many external conditions and forces that have the potential
Premium Toy Lego Economics
Middle East was at the top of American policies‚ a crisis arose during the presidency of Jimmy Carter. In November 1979 Iranian students took hostage of the United States Embassy in Tehran for 444 days. The shaping of the national agenda and the organizing of the 1980 presidential campaign was drastically altered. At the same time the United States economy was in a recession by a doubling of oil prices‚ which was closely associated with the crisis. Iran supplied about 65 percent of the world’s exported
Premium Iran Jimmy Carter President of the United States
of World War II‚ and with ten times more firepower than any other conflict because there were many advancements with nuclear missiles. Luckily‚ an agreement was later made and the missiles were taken out of Cuba with no harm done. The Cuban Missile Crisis was a thirteen day period where the people of the United States‚ Cuba‚ the Soviet Union‚ and the rest of the world
Premium Cold War Cuban Missile Crisis Soviet Union
SIMILARITIES AND DIFFERENCES OF THE GREAT DEPRESSION AS COMPARED TO TODAY’S FINANCIAL CRISIS ABSTRACT The financial crisis which the United States is combating today‚ in many aspects resembles the characteristics and consequences which were the outcome of the Great Depression lasting from the time period 1929 till 1933 (Great Depression). The Great Depression of earlier times and the financial crisis of the current times from 2003-2008 will be studied in depth in the following research work in
Premium Great Depression Wall Street Crash of 1929 Unemployment
English Dossier Miléna Gandroz 2A Cycle ICM What are the causes and the consequences of the global financial crisis of 2008? SOMMAIRE INTRODUCTION 3 WHY IT HAPPENED? 4 1. Deregulation policy 4 2. Securitization of mortgages 4 HOW IT HAPPENED? 6 1. The subprime crisis 6 2. The financial crisis 6 WHAT ARE THE CONSEQUENCES? 7 1. In the financial sector 7 2. In the United States 8 3. Abroad 8 WHAT IS HAPPENING NOW? 8 1. Some things are changing 8
Premium Subprime mortgage crisis Bank Financial services
The Effects of 1997 Asian Financial Crisis in Thailand and Hong Kong The Asian financial crisis occurred since the beginning of summer 1997 in Thailand and was triggered due to the currency depreciation of Thai baht. Declines in the stock market and exchange rates and the assets prices affected the economies of East Asian countries on a large scale‚ most notably Thailand‚ South Korea and Indonesia. Although Hong Kong was suffered severely in the crisis‚ there was significant impact on its economy
Premium Financial crisis South Korea
Iran Hostage Crisis In the early morning of November 4‚ 1979 an angry mob of Islamic revolutionaries overran the US Embassy in Tehran‚ “the group called themselves the Muslim Student Followers of the Imam’s Line” (History‚ Unknown). The Iran Hostage Crisis was also known as “Conquest of the American Spy Den” which is the literal translation from Persian to English (Lee). From November 4‚ 1979 to January 20‚ 1981 52 Americans were held hostage for 444 days in various locations around Iran to make
Premium Iran United States Mohammad Reza Pahlavi