The recent financial crisis in our country is the result of many years of reckless spending and greed. While it is common for the economy to have cycles, a full-blown crisis is preventable. I hope we, as a country, are able to learn from our mistakes and live more conservatively going forward.
I personally agree,THE U.S. economy is currently experiencing its worst crisis since the Great Depression. The crisis started in the home mortgage market, especially the market for so-called “subprime” mortgages, and is now spreading beyond subprime to prime mortgages, commercial real estate, corporate junk bonds, and other forms of debt. Total losses of U.S. banks could reach as high as one-third of the total bank capital. The crisis has led to a sharp reduction in bank lending, which in turn is causing a severe recession in the U.S. economy.
Yes, the financial crisis face by the US could have been avoided if there would have been more regulations in place in the financial sector. Since the crisis, regulations have tightened up somewhat, leading us on a road to recovery. It is also important for the US government to reign in spend so they are not borrowing so much.
yes, if the government had been careful and watched how they spent all of their money then they could have done a lot to prevent the crisis that we are in now. I think that it will be easy for us to come up out of it also though with time.
The United States could have avoided the financial crisis but as time wore on the statistical probability of it not happening would continually have gone down. Bad economic policies and bad investing caused the crisis and it was bound to happen at some point just as the stock market had crashed before. If people had used better polices and better economic techniques the crisis could have been avoided for a long time.