The US Recessions have caused serious repercussions to the rest of the world

In 2008 after big time cooperations such as AIG and JP Morgan have a near fall as well as several massive bailout plans the US economy was put in a freefall. As a result to this the remaining banks have to tighten loans as their credit continues to drop. This makes it difficult for people to purchase new homes as the housing market is already in deep trouble. With the lurking threat of unemployment rates increasing even more consumer confidence and spending goes down as a whole.

Less sales of products such as smart phones, automobiles, and electronics means companies stop new production due to backlog and overproduction on their last product they expected to sell already if it weren't for the bad economy.

Febuary 2009 China lost twenty million jobs in the capitalist sector due to America's failed housing system. So now we have superpowers such as china pissed off at us becuase of the unemployment we're dragging not only there but in India, Asia, Russia, Etc. Without our production the rest of the world's production is effected negatively.

Put all of these things together and it is clear to see that banks all over the world are collapsing. In Europe this is most porminent especially in Great Britain, Iceland, and Greece were International Shares have taken an alarming decline.





When and how will the world recover from such repercussions?




http://syzygyastro.hubpages.com/hub/Repercussions-from-the-US-recession-on-the-rest-of-the-world