current crisis

The Effect of the Financial Crisis on Citibank

A Research

Prepared by

Date

Table of Contents

1 . Introduction 3

2 . Commentary and Analysis 5

The Making of the Financial Crisis 5

Impact on Citibank 7

The Future 10

3 . Conclusion 13

Works Cited 14 1 . Introduction

There is widespread concern the world over on the seriousness of the current financial crisis , and the challenges it poses to the established global financial , economic and political

The economy of the United States , for many decades the

recognized global financial and economic colossus (its GDP nearly four times that of Japan , the second richest economic power in the world , is slipping into recession , as are the Euro zone countries and Japan . The origins and development of the financial crisis lie in a complex interaction of number of forces . Some of these were the product of market forces . Some again were the result of market failures . Added to these were the consequences of incentives created by policy makers and regulatory bodies . Whilst some of these were evident , others were hidden under a cloud of euphoria and are apparent only now , after the crisis has created its devastation (Leinberger , 2008

The crisis in world financial markets , which began when prices began to decline in the US real-estate market in the second half of 2006 , is assuming ever larger dimensions . The worst hit by the crisis is obviously the banking sector , even though its broader repercussions have led to widespread economic slowdown across the...