Economical Crisis Cause

The cause of our current economical crisis is easily summed up by bingle word. The word carries a definition which is one of kind-hearted’s worst traits and even included in one of Christianities very well known teachings, the seven deadly sins. This word is Greed. Greed is caused by desiring something such as silver and acquiring an overindulgence amount of the suitable thing by any(prenominal) means possible. The reason for why Greed is considered a blighted trait is because the acquisition methods for what somebody believes atomic number 18 usually heedlessly thought through and result in personal secure from others suffering. They also usually result in excess amounts of the desirable thing when the amounts ar not even needed. Often these things are needed by others as well but those others are The methods of acquisition are also usually made up by very naïve thoughts. Greed supplemented by naïve thoughts is what caused the economical crisis we are under now.
Human’s desire for specie is in good order satisfied by our ability to kick in each other money in return of the money back at a later time. only if what happens when we supply money to someone and they cannot pay you back. This is what happened with banks and their account holders. Many banks in the USA were lending out money in excess amount.



The more money modify out, the more profits they testament make because of the interest rates placed on the lent money. These banks were very naïve though because what they did not factor properly into account was that the money lent out might not necessarily get paid back. These Naïve thoughts also were mirror by these banks customers. The customers saw the opportunity that they were able to acquire a lot of money so many decided they would. But they did not consider the fact that they may not be able to pay it back. This all resulted in many banks losing their money and in the end many banks fell into bankruptcy.
Mortgages on signal were the main issue that caused the economical crisis. Banks would...If you want to get a full essay, order it on our website: Orderessay



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