Tag Archives: subprime

This image is from NYTimes.com

On April 2007, Subprime mortgage company went into bankruptcy with trillions dollars of consumer’s credit debt in mortgage program. It caused huge financial crisis of 2008 not only in U.S.A, as much as in global market.

This crisis brough the consecutive collapses of all kinds of financial companies such as banks, funds, insurance companies and other businesses. It affect high inflation of all goods, unstability of the price, high unemployment, and the decrease of productive capacity and a downfall of real estate market. The government economy also shrank up from financial damage and moreover, the entire world seemed to become a great depression as a whole.