Global Economic Crisis Spreading throughout International Community

What started as a financial disaster in the United States has become a truly global economic crisis. Banks and other financial institutions throughout the world purchased toxic financial instruments engineered on Wall Street in the USA and the world’s nations have all now been impacted by the credit crunch.

What began as a financial crisis has now impacted the real economy globally. The United Kingdom, Germany, France and other European countries have poured trillions of dollars in taxpayer money into stopping the rot of the world’s financial system.

The United States has initiated its own costly rescue of Wall Street. However, the global economic crisis is raging out of control and cannot be stopped. China has begun to lay off factory workers. Japan and Singapore have economies that are in recession. In South Korea and other countries, the currencies are collapsing. Iceland is bankrupt. The stock market in Russia has been decimated.

Commodity prices are undergoing radical deflation. As the consumer economy in the United States continues to erode, the repercussions will continue to spread globally. Highly respected economists including Nouriel Roubini and Nassim Taleb have issued warnings based on their analyses that with respect to the global economic crisis, the worst is yet to come.

In a recent interview, Nassim Taleb indicated that the ongoing global economic crisis may not only exceed the Great Depression in severity, it may prove to be the gravest crisis to face the United States since the American Revolution. The entire world is now in the grips of a terrifying Global Economic Crisis.