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Unemployment in the USA

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Unemployment in the US

The gravity of unemployment on the American citizenry can be surmised by Thomas Carlyle when he said that , a man willing to work , and unable to find work , is perhaps the saddest sight that fortune 's inequality exhibits under the sun . Unemployment in the USA today is a direct consequence of the devastating global recession which is one of the biggest threats to the world political , social and economic climate Global recession presents as a macroeconomic crisis

. However , before driving into the core of the unemployment crisis , it is prudent to offer a comprehensive analysis of the gradual developments . Following the near bankruptcy scenarios in most investment and insurance companies in the early weeks of 2008 , an acceleration towards a downward spiral began and as global recession became a reality in New York , so did the catastrophic effects spread to London and Moscow into all the G7 nations . As the equity prices fell , so were banks ' balance sheets damaged and an era of restricted lending ensued . The dramatic rising of the cost of short term credit , and drying up of liquidity ushered in the official recession and the shock waves emanating from the US financial markets reverberated globally

The origin of the global banking crisis can be traced to the sub-prime mortgages . While these mortgages had offered millions of Americans to access home ownership opportunities , they carried with them an extremely high risk pro . Moreover , financial institutions based these...

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