Query by Stardust Ash: what are the causes of the international financial crisis in 2009?
elements that led to the 2009 international economic crisis.
thanks!!
Best answer:
Answer by Simone
The list of causes of the crisis is fairly lengthy because there have been systemic failures and contributing aspects but the primary causes could be summarized with:
*A housing bubble – that eventually burst
*Poor underwriting/sub-prime lending at financial institutions
*Securitization of mortgages/creation of atypical investment autos
*Aggressive threat management
*Poor contingency arranging
I think what produced the crisis shift from the US to the rest of the globe is that truth that we reside in a very connected, international economy. So, a crisis that originates in one nation has the possible to debilitate another – producing a ripple effect.
Add your own answer in the comments!
