Outline Financial Crisis Paper

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    The Financial Crisis

    In 2007, the US financial system began to collapse. The trust link between the different financial institutions, such as Investment Banks or Insurance Companies, broke – crashing all the financial system. The collapse of all the US banking system had consequences everywhere in the world. No one, from the strongest European countries to the poorest places in the world, was spared. To understand the whole current situation, we have to look back in the 80s and 90s when the deregulation started. Deregulation

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    Financial Crisis

    Financial Crises: Theory and Evidence Franklin Allen University of Pennsylvania Ana Babus Cambridge University Elena Carletti European University Institute June 8, 2009 1. Introduction Financial crises have been pervasive phenomena throughout history. Bordo et al. (2001) find that their frequency in recent decades has been double that of the Bretton Woods Period (1945-1971) and the Gold Standard Era (1880-1993), comparable only to the Great Depression. Nevertheless, the financial

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    Financial Crisis

    its creation in 1972Patagonia’s mission statement includes a portion about helping the environment and reducing toxic impact: “Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis. Patagonia donates 1% of sales to environmental groups every year. Prada also started with two botiques then led a success through Europe and U S. Prada is specialized in leather clothes which are considered eco-friendly material. 5) Nau tried to

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    Financial Crisis

    like to be : chapter 15 from today's viewpoint Financial Crisis It’s commonly believed that the financial crisis happened during 2008~2009 is one of the most serious financial events in human history. A collapse of the US sub-prime mortgage market and the result of the housing boom in other industrialized economies have had a ripple-effect around the world. Furthermore, the other failures in the global financial system have surfaced. Some financial products and instruments have become so complex

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    Financial Crisis

    O C C A S I O N A L PA P E R S E R I E S N O 1 2 3 / F E B R UA RY 2 011 THE INTERNATIONAL MONETARY SYSTEM AFTER THE FINANCIAL CRISIS by Ettore Dorrucci and Julie McKay OCCASIONAL PAPER SERIES NO 123 / FEBRUARY 2011 THE INTERNATIONAL MONETARY SYSTEM AFTER THE FINANCIAL CRISIS by Ettore Dorrucci and Julie McKay1 NOTE: This Occasional Paper should not be reported as representing the views of the European Central Bank (ECB). The views expressed are those of the authors and do not

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    Financial Crisis

    09-093 July 22, 2009 The Global Financial Crisis of 2008 – 2009: The Role of Greed, Fear and Oligarchs Cate Reavis Free enterprise is always the right answer. The problem with it is that it ignores the human element. It does not take into account the complexities of human behavior. 1 —Andrew Lo, Professor of Finance, MIT Sloan School of Management The problem in the financial sector today is not that a given firm might have enough market share to influence prices; it is that one firm or a

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    Recent Financial Crisis

    Current financial crisis Economic growth involves metamorphosis of the financial system. Forms of banks and bank money change. These changes, if not addressed, leave the banking system vulnerable to crisis. There is no greater challenge in economics than to understand and prevent financial crises. The financial crisis of 2007-2008 provides the opportunity to reassess our understanding of crises. All financial crises are at root bank runs, because bank debt—of all forms—is vulnerable to sudden

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    Financial Crisis

    Efficient-Market Hypothesis and the Financial Crisis Burton G. Malkiel* Abstract The world-wide financial crisis of 2008-2009 has left in its wake severely damaged economies in the United States and Europe. The crisis has also shaken the foundations of modern-day financial theory, which rested on the proposition that our financial markets were basically efficient. Critics have even suggested that the efficient--market–hypotheses (EMH) was in large part, responsible for the crises. This paper argues that the critics

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    Asian Financial Crisis

    RESEARCH PAPER 99/14 11 FEBRUARY 1999 The Asian Economic Crisis This paper considers the economic crisis that began in the financial markets of South East Asia in 1997 and the consequences for the economies of the region and the rest of the world. The paper provides a chronology of and explores the factors that led to the crisis. An overview is given of the policy measures that the international financial institutions (IFIs), such as the IMF, have taken to deal with the crisis. Some of the

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    Financial Crisis

    In the years leading up to the crisis, high consumption and low savings rates in the U.S. contributed to significant amounts of foreign money flowing into the U.S. from fast-growing economies in Asia and oil-producing countries. This inflow of funds combined with low U.S. interest rates from 2002-2004 resulted in easy credit conditions, which fueled both housing and credit bubbles. Loans of various types (e.g., mortgage, credit card, and auto) were easy to obtain and consumers assumed an unprecedented

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    2000 Financial Crisis

    2008 FINANCIAL CRISIS Name Course Date 1. Background The financial crisis commenced in August 2007 after the preceding inflation. The crisis became more defined throughout 2007 and gained momentum in 2008. This took place even after the financial regulators and the central banks’ tireless attempts to tame the situation. It is alleged that the main factors that influenced its manifestation include corruption, fraud, speculation, greed, bankers and bankers’ bonuses. However

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    2008 Financial Crisis

    2008 FINANCIAL CRISIS Name Course Date 1. Background The financial crisis commenced in August 2007 after the preceding inflation. The crisis became more defined throughout 2007 and gained momentum in 2008. This took place even after the financial regulators and the central banks’ tireless attempts to tame the situation. It is alleged that the main factors that influenced its manifestation include corruption, fraud, speculation, greed, bankers and bankers’ bonuses. However

    Words: 4957 - Pages: 20

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    Financial Crisis

    In the aftermath of the financial crisis of 2007, there has been a great deal of debate regarding the key underlying causes. For example, when people discuss the collapse of the financial markets, the most frequently mentioned word is subprime mortgagewhich is considered as the culprit of the crisis. Yet, is subprime mortgage the root of the crisis? If it was, then the question would be how this type of financial product, which is only marginal part of the financial market, could cause such a

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    Financial Crisis

    The Financial Crisis The financial crisis has resulted in the collapse of large financial institutions, taken billions of dollars from bank costumers, and caused high unemployment rates. This has been going on for a long time and is only getting worse. Some say the government needs to stay out of the crisis and some say the government needs more regulation. In order to save our economy from the financial crisis, the government needs to enact proper regulations. The aim of those regulations must

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    Financial Crisis

    The Global Financial Crisis Introduction The global financial crisis which started in early 2007 has proven to be perhaps the great financial catastrophe in history. Although it traces its roots back to the starting of the millennia, the subsequent meltdown was most gruesome over the past 3 years. What began as a crisis of the sub-prime mortgage market in the United States quickly transcended national borders and developed into a upheaval of epic proportions. What ensued was a systematic debacle

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    Financial Crisis

    –Strumica Financial Crisis -esej- Predmet:Angliski jazik 1 Izrabotil: Profesor:Natka Jankova Elena Garvanlieva Indeks: 9532 Strumica,dekemvri 2012 Throughout the history and even today we often hear about the term financial crisis. Every

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    Financial Crisis

    Throughout the history and even today we often hear about the term financial crisis. Every day on the news we can hear about the financial crisis in some countries and how they are trying to prevent it or to get out of it. Especially about the financial crisis in Greece. So what exactly is financial crisis? There have been a lot of definition of what financial crisis is, but they all agree in one thing financial crisis appears when some institution or assets suddenly lose a large part

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    The Federal Reserve and the Financial Crisis

    Running head: THE FEDERAL RESERVE AND THE FINANCIAL CRISIS The Federal Reserve and the Financial Crisis Laura Brotherton Strayer University Principles of Economics ECO 100 Professor Isley March 13, 2013 The Federal Reserve and the Financial Crisis Government-sponsored enterprises (GSEs) are financial services corporations established by Congress with the hope of enhancing the flow of credit to certain targeted sectors of the economy making them more efficient and transparent

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    Financial Crisis

    FINANCIAL CRISIS: WHERE DID RISK MANAGEMENT FAIL? Gabriele Sabato Royal Bank of Scotland1 Abstract The real estate market bubble and the subprime mortgages have been often identified as the causes of the current financial crisis, but this is not entirely true or, at least, they cannot be considered as the main cause. A poor regulatory framework based on the belief that banks could be trusted to regulate themselves is among the main sources of the crisis. At the same time, risk management

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    Financial Crisis

    Current financial statements of financial institutions are combinations of values derived from fair-value, cost-basis, depreciation, amortisation, impairment and other accounting standards. During the past two decades, there has been considerable interest in the reporting by financial institutions of the fair values of their financial instruments either as complements or substitutes for historical book value. The generally accepted accounting definition of “fair value” is based on the rule FASB Statement

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    Financial Crisis

    Syndicate group assignment What were the origins of the Asian currency crisis? The Asian currency crisis was a period of financial crisis started in Thailand in July 1997. Many Asian countries experienced a financial crisis are a large drop in the value of its currency and a large drop in its traded equity prices. Before the crisis happened, many Asian countries produced a dramatic reduction in poverty and rapid economic growth. Behind the boom, there

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    Financial Crisis

    End of the Financial World as We Know It provided a very detailed review of what lead up to the 2008 financial crisis. I felt that the author did a very good job being objective and taking a very difficult topic and presenting it in a straight forward manner. thought I did feel a little disheartened after reading the article. How could this have been let to go so far and have we really learned anything from the 2008 financial crisis. The article titled How to Repair a Broken Financial World was

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    Financial Crisis

    Economic Research Paper April 18, 2010 After two years after the financial crisis of 2008, the Congress is ready to step up and start implanting a new plan. The Senate Banking Chairman, Christopher Dodd, released the Restoring American Financial Stability Act of 2010 on March 15th 2010. This bill includes the revisions to the bill Dobb presented to the Senate in November of 2009. Some of the bill was improvements to The “Schumer Bill”, The Shareholder Bill of Rights, which was proposed by

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    Financial Crisis

    The exploding of financial crisis in south East Asia, starting with the floating of the Thai baht in July 1997 has attracted heated debate on the causes and effects of the financial crisis and the appropriate and necessary responses at national and international level. My focus will be based on Singapore. Singapore has a very open economy both in current and capital accounts. The impact of financial crisis in Singapore have not been that severe due to the strong macroeconomic fundamentals, policies

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    Financial Crisis

    The exploding of financial crisis in south East Asia, starting with the floating of the Thai baht in July 1997 has attracted heated debate on the causes and effects of the financial crisis and the appropriate and necessary responses at national and international level. My focus will be based on Singapore. Singapore has a very open economy both in current and capital accounts. The impact of financial crisis in Singapore have not been that severe due to the strong macroeconomic fundamentals, policies

    Words: 256 - Pages: 2

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    Financial Crisis

    The exploding of financial crisis in south East Asia, starting with the floating of the Thai baht in July 1997 has attracted heated debate on the causes and effects of the financial crisis and the appropriate and necessary responses at national and international level. My focus will be based on Singapore. Singapore has a very open economy both in current and capital accounts. The impact of financial crisis in Singapore have not been that severe due to the strong macroeconomic fundamentals, policies

    Words: 256 - Pages: 2

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    Financial Crisis

    Serious Downturn of Global Economy during the Last One Year Financial crisis engulfing the world economy—falling share markets, decreasing industrial growth—is our prime concern today as almost every countries of the world, every of the people of the world are somehow affected by it. Now, what has caused this major economic upheaval in the world? Observing the economic scenario of the recent past, we would get some unpleasant answer as it would show nothing but the quicksand of capitalism, the dominating

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    Financial Concepts and Financial Crisis

    "Financial Concepts and Financial Crisis" Please respond to the following: Explain at least two (2) ways financial systems and markets have had an impact in your life in the past or may impact you in the future. 
 Financial markets and systems have an impact in my everyday life and will continue to do so in the future. I have funds in savings and I have various investments in which I am consistently monitoring and making alterations. Financial systems and markets allow for the generation and

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    Financial Crisis

    knowing very few things about financial market and services (FMS). However, after 4 weeks of research and many enthusiastic discussions among our group members, it has helped me understand a lot more about FMS as well as the financial crisis, specifically sub-prime crisis. To begin, from doing this project I have come to know that financial markets in the world are interconnected. When US financial system collapsed, with the demise of some of the biggest financial institutions in US, it jeopardised

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    Financial Crisis

    FINANIAL CRISIS 2008 AND CORPORATE GOVERNANCE The business world is questioning whether Corporate Governance has become a mere catchphrase, divorced from the contentious problems it is supposed to solve… MEMBERS: AYUSH KUMAR-030 NIPEKSH I MAHAJAN-082 PRABHAV MISHRA-0 PRATEEK KUMAR-096 VAIBHAV JAIN-164 “Why should a financial engineer be paid four, four times... to a hundred times more than the real engineer? A real engineer build bridges, a financial engineer build, build dreams. And

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    Financial Crisis Paper

    What caused the financial crisis of 2008 and who is responsible for it? My original intent for this paper was to argue that market failure, particularly in the housing sector, was the primary cause for the crash. Unfortunately my research has lead me in a different direction. According to the discussions we had in class that means I should be arguing from the perspective that the crisis was caused by government intervention then, right? I’m not so sure that’s the case either. Instead I’ll argue

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    Financial Crisis

    R i s k M a n a g e m e n t: The Current Financial Crisis, Lessons Learned and Future Implications Essay on the Financial Crisis by Andrew Winkler The current crisis is catalyzing an array of responses, in- make housing prices inversely proportional to the interest goating and a massive capital injection. Without a clear un- When those rates double, house prices are slashed in half. cluding searching for causes, reworking regulations, scapederstanding of the cause, the remedies may do more harm

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    Financial Crisis

    than the United States and the United Kingdom during the 2007-2009 financial crisis ? 1. Global financial crisis 2007 to 2009 1.1 Background The 2007-2009 financial crisis started as a sub-prime crisis in the United States (US). The Wall Street, driven for higher profits and low federal fund rate in home ownership began lending to sub-primes (Whalley et al, 2009). The mortgage loans were then re-packaged into financial instruments and sold to investors globally. When the housing prices

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    Financial Crisis 2008

    CORPORATE FINANCE THE GLOBAL FINANCIAL CRISIS 2008 Group’s member:Nguyễn Như Nam (C)Phan Thu AnNguyễn Thùy DungHoàng Bá SơnNgô Thị Ánh TuyếtDate: 28/11/2014 | AbstractIn 2008 the world was fell into the worst financial crisis since the Great Depression of 1929-1933. Although this crisis has gone, however, its consequences for the economy of many countries is very serious, even now many nations are still struggling to escape difficulty. Just in a short period, the crisis originating from America

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    Financial Crisis

    Cunent Politics and Economics of Europe ISSN: 1057-2309 Volume 21, Issue 1 © 2010 Nova Science Publishers, Inc. ICELAND'S FINANCIAL CRISIS* James K. Jackson ABSTRACT On November 19, 2008, Iceland and the Intemational Monetary Fund (IMF) finalized an agreement on a $6 billion economic stabilization program supported by a $2.1 billion loan from the IMF. Following the IMF decision, Denmark, Finland, Norway, and Sweden agreed to provide an additional $2.5 billion. Iceland's banking system had

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    Financial Crisis Question Paper

    Autumn 2013/2014 Requirements for this examination: Note to Candidates: Please check the Programme Title and the Module Title to ensure that you have received the correct examination paper. If in doubt please contact an Invigilator. Page 1 of 4 Section A Question 1 Mandatory The Global Financial Crisis and Protectionism Two facts characterized international trade between 1986 and 2007. First, the volume of world trade grew every year, creating an increasingly interdependent global

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    Financial Crisis

    What triggered the Financial Crisis Although a number of developments helped trigger the recent financial crisis, the most devastating were the significant losses on mortgage loans to subprime borrowers. The impact of these losses only became known shortly after house prices began to decline. In order to prevent a deep recession after the September 2011 terrorist attacks, the Federal Reserve drastically reduced interest rates. These low rates allowed citizens to continue taking out loans, including

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    Financial Crisis

    poorest nations in Europe to becoming one of the most successful economies in the West, the geographically isolated country of Iceland suffered a lot when its three major banks collapsed in the same week in October 2008. As a consequence of the banking crisis, Iceland entered a deep recession and deep cuts in employment were made and the exchange rate dropped sharply which caused the inflation to soar. The Central Bank of Iceland has been criticized for its monetary policy in the past and how it handled

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    Financial Crisis Term Paper

    5/4/15 The Great Recession: The Financial Crisis of 2008 Table of Contents: I. Introduction......................................3 II. Cause & Effect of the Housing Bubble..............3 III. Financial Industry................................5 IV. Global Contagion..................................6 a. European Sovereign Debt Crisis of 2007-2008.....7 V. LIBOR.............................................8 b. LIBOR & the Crisis in Lending...................8

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    Outline Structure for Financial Crisis

    Outline Thesis: In examining the contributing factors of the financial collapse of 2008, were the warning signs ignored? Could the crisis have been averted? Once we examine the mortgage industry and Collateralized Debt Obligations (CDO’s); those whom we entrust to oversee our financial system; the media; and the global economy as a whole, what lessons had been learned, what is the future prognosis? Body: 1. The mortgage industry and Collateralized Debt Obligations (CDO’s) a. How

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    Financial Crisis

    Financial Crisis Introduction In recent decades, financial crises have stopped the momentum of economic development of many countries around the world. In some cases, they have destroyed almost completely different financial systems. The term financial crisis is applied broadly to a variety of situations in which some financial assets suddenly lose a large part of their nominal value. In the 19th and early 20th centuries, many financial crises were associated with banking panics, and many recessions

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    Financial Crisis

    of America. e o ISBN 978- 0-470-56516-2 The Financial Crisis: 2007-2009 Objectives Understand the major influences that led to the 2007 2009 Financial Crises Describe the role that agency cost issues played in the financing of mortgages to developing mortgage backed securities and other financially engineered securities based on mortgages Describe the timeline of events that unfolded during the financial crisis Explain how financial managers must consider the risk, not only the return

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    Financial Crisis

    THE GFC AND ITS AFFECTS The Global Financial Crisis was caused because of yield seeking entities who took speculative positions via derivatives on mortgages, but didn't own the underlying bonds. The shock happened because when the housing market went south, the people who shorted housing were due to be paid a lot, and the banks were overexposed to cover those losses. The Fed Reserve's role was to utilize monetary policy to ensure liquidity in this credit crisis, when banks were cash strapped. Thus

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    Financial Crisis

    Background EU Crisis • 1957 - Treaty of Rome (Germany, Belgium, Luxemnourg, Italy, France and Netherlands) • 1979 European Monetary Union (EMU) - Exchange Rate Mechanism (ERM) • still own currencies • economic cycles were not in sync • 1992 The Maastricht Treaty - introducing the Maastricht Criteria: • Independence from their governments • Convergence in inflation rate >> convergence in long-term interest rates (average had to be near of the group‘s best performer) • Fiscal deficits

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    Financial Crisis

    Economics Crisis and Response: Case Study of Malaysia’s Responses to Asian Financial Crisis Journal of Contemporary Eastern Asia Vol. 11, No. 1: 43-56 Journal abbreviation: J. Contemp. East. Asia Stable URL: http://eastasia.yu.ac.kr/documents/Fumitaka_11_1.pdf www.JCEA-Online.net Open Access Publication Creative Commons License Deed Attribution-No Derivative Works 3.0 Journal of Contemporary Eastern Asia, Volume 11, No.1: 43-56 http://dx.doi.org/10.17477/jcea.2012.11.1.043 Economics Crisis and Response:

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    Basic Financial Crisis Paper

    On Crisis and Resolution It is my belief that the 2008 financial crisis was caused by a number of issues, most prominently subprime lending and borrowing in an over zealous pursuit of profits, a lack of preventative action, deceptive investment banking, and finally an inconvenient rise in interest rates. I am also confident that the crisis could have been averted through more stringent monitoring of the asset-backed security and consumer lending markets. Furthermore, a similar crisis can be

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    Financial Crisis

    The term financial crisis is applied broadly to a variety of situations in which some financial institutions or assets suddenly lose a large part of their value. In the 19th and early 20th centuries, many financial crises were associated with banking panics, and many recessions coincided with these panics. Other situations that are often called financial crises include stock market crashes and the bursting of other financial bubbles, currency crises, and sovereign defaults.[1][2] Financial crises directly

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    Financial Crisis

    Term Paper Identify an interesting question about an issue related to a recent financial crisis. Then write a 10-15-page paper. Due date: Structure of paper Your paper should have the following structure: 1. Introduction The introduction should briefly indicate what topic/question you are addressing and why it should be of interest. It should briefly talk about the deficiency of the literature on the topic and what you are doing different. The introduction should

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    Financial Crisis

    Lebanese American University School of Business Economics Department Advanced Topics in Economics Midterm Paper Perspective on the Financial Crisis of 2007-2008 Fatima Sobh 200903216 By early 2007, the crisis started in the U.S. with the collapse of the subprime mortgage market and by reaching the end of a major booming housing era. It occurred just after two years of raising the interest rates policy. Not only had it affected mortgages, it reached the banking sector in the U.S.

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    Financial Crisis

    financial crises are major disruptions in financial markets characterized by sharp declines in asset prices and firm failures. Most people think that the financial crises result from the subprime crises. Investors have no confidents on the mortgage-backed securities. Six categories of factors play an important role in financial crises Asset market effects on balance sheet: A sharp decline in the stock market is one factor that can cause a serious deterioration in borrowing firms’ balance sheets

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