Inside Job 2010 Directed By Charles Ferguson

Financial crisis is really a major concern for all economies in the world. Every time a crisis occurs, companies, banks and financial institutions should draw their own lessons, because if the lessons are not recognized, they may still go on the trail of failure of

The United States ranks as the highest gross domestic product nation in the world (Wickipedia, Retrieved March 22, 2014). This ranking indicates that millions of people buy, sell, trade and perform business transactions daily within a multitude of industries and professions. In order to preserve the trust and integrity of our financial systems, it is imperative that the United States implement, regulate, and enforce business practices to remain relevant and effective within the constantly changing global economic marketplace.

The impact of the financial crisis in 2008 is so far , it has resulted in various industries have revived a shock, even many large companies have been forced into bankruptcy.Inflation is a result of the decline in the quality of life, the weakening of people 's ability to pay. The outbreak of the financial crisis from the United States and then spread to the world,so this essay analyzes the reason of the US financial crisis, it is equally applicable to the countries in the world and take warning,that is the lack of supervision of financial institutions in the United States.

After reading the first half of the text, I learned about the topics of globalization, economic development, international financial markets, and more. International business is relevant in almost all news articles today. Although I have learned a large measure of information from each chapter, I was mostly interested in chapter five’s topic of international trade which discussed how countries sell, purchase, or exchange goods across national boarders.

One example is that China’s one child policy has forced a generations of young adults to be sole providers for older family members, thus giving them less money to spend (Washington Post, 2015). To protect the market shares for domestic organizations, countries such as China, have attacked foreign multinationals. In one year, as many as thirty multinational organizations were placed under investigation. Thus, more and more multinationals are becoming cautious about their international affairs. In 2013, it was said that “at least 3,000 U.S. companies were victims of data theft and network disruptions” and many state-owned enterprises (SOEs) have gotten access to local contracts and markets which are unavailable to foreign firms (Washington Post, 2015). Due to such failures, companies are working to find the best international business model such as reshoring and localization. Therefore, according to the author of this article, “there’s money to be made for multinationals the world over, but they are going to have to rethink their strategies for making it” (Washington Post,

The last decade has been a period of much economic reform for individuals, institutions and societies alike. With increasing rates of globalization, financial markets and foreign trade have been a direct beneficiary of the free market, thus resulting in an interlinked and a rather interdependent global economy. Despite this advantage, the opportunity for failure loomed as human error and ill-conceived economic regulations became more frequent in some of the world 's most sophisticated economies. This loophole in the global economy resulted in the greatest economic downfall of the modern era since the Great Depression of the 1930’s, the 2008 Global Financial Crisis (GFC). Foster (2010, p.54) defines the financial collapse as a “crisis that started in the US mortgage market when massive numbers of mortgage defaults threatened the ability of the United States and global financial institutions to service their debts. Their consequent inability to lend led to a recession in the United States and many other countries, and increased the likelihood of a meltdown of the global financial system”. Despite the rarity of financial crises, they are considered cyclical, mirroring the trends of a business cycle, thus are able to reoccur if wrong financial regulations are implemented and lack of control is exercised on economic activity. As many economists today examine the crisis, it is widely concluded that there were collective causes and effects, both immediate and longstanding, of the

The most recent financial crisis of 2007 was felt throughout the world, and brought about huge economic consequences that are still being felt to this day. Within the United States, the crisis undoubtedly resulted in a surge in poverty and unemployment, a significant drop in consumption, and the loss of trust in the capitalist economic system. Because of globalization, this crisis was felt through the intertwined global markets, affecting underdeveloped countries even more. Historical events from the past have taught us that financial crises such as the one we suffered during 2007 have occurred a vast number of times. From Mexico to Thailand, these financial crises have resulted in contagion worldwide, and have caused governments to

Financial crisis has been prevalent since time immemorial. The world’s economies have been continually hit by the same and the 2008 financial crisis is definitely not the last appearance. The financial sector involves complexity and contains one of the world’s largest players and has continually developed into large conglomerates sometimes too big to control. These financial organizations have developed products that have become hard to regulate and impose control on which has often led to their collapse. Major world governments and financial institutions, mostly the central banks have the responsibility to make sure that these organizations are operating both ethically and legally and within the bounds of the law. This is the institution of supervisory and regulatory roles to monitor them.

After the financial crisis came into effect the entire world received a wakeup call about their dependency of the success of United States economy (Lam, NPR). The world economy is still dependent on the outright success of the United States of America. A financial crisis like the one in 2007-2009 only happens so often and is undoubtedly one for the history books. For a financial crisis like this to be averted in the future, the borrowers and loaners within the financial system must not rely so heavily on the success of big

The alternative approaches that can prevent the circumstances lead by the financial crisis is represented to be dependent upon virtue-based ethics in which the morality of business is internal as well as the major good implications not lies within the rights or regulations however, in term of classical normative view particularly including honesty, business fairness and generosity. Virtue ethics are mainly concerned with the actions itself rather than on moral implications in order to behave according to the derived regulations as well as rules. In reference to specific consideration, it is identified in terms of case study that banks should adopt Equator principles as well. The Equator rule includes accumulation of banks that have marked a record expressing ways they will secure the earth. It is identified that where the borrower does not or cannot conform to these standards of socially capable speculation. Despite the fact that RBS have utilised their drive by joining to this rule they haven't tailed it too thoroughly. The previous research investigations claim that

The crises showed just how interconnected the banking system is throughout the world. The Lehman Brothers bank closure in 2008 created a major financial crisis around the world due to its influence (The Economist, 2013). It took the government’s massive bail outs to prevent total collapse of the financial system and to some extent economic collapse of the country. This government action set a precedent and to some sent a message that the reckless action by the banks in the name of profit is fine because they now have a safety net. It is a good example of how the collapse of a big financial institution that has national and global influence can affect several interrelated firms to the detriment of the country’s economic interests. This paper therefore, examines the notion “too big to fail” in relation to banking.

It is well known that the financial crisis which started in 2008 is a worldwide recession. Even the Lehman Brothers Holdings, which was a global firm with a high reputation, went bankrupt on September 15th, 2008. Lehman Brothers Holdings failed because it was unable to retain the confidence of its lenders and counterparties and because it did not have sufficient liquidity to meet its current obligations. (Anton R. Valukas, March 11th, 2010) Undoubtedly, the impact of Lehman’s bankruptcy was tremendous and

Inside Job is an enthralling documentary about how the reckless actions of Wall Street lead to the near collapse of

There is no smoke without fire. The global financial crisis caused from hundreds of thousands of decisions and changes from different areas. The America government, Wall Street and the Rating Agencies put on this world-shaking show together. And to be more specific, the top officials in politics and finance pull strings behind the senses. Applying Mintzberg’s ten management roles model as a frame, the America government, Wall Street and the Rating Agencies are correspondingly divided into three categories as interpersonal, decisional and informational.
Government is obviously and absolutely a leader for the people in the country. People count on their government and on the other side, every decisions government made, every bills Congress passed is closely related to people in the bottom. In the global financial crisis, government decided to deregulation and negligent to have contingency plan to protect country economics. Government deregulation in financial market had precedents back in last century. In 1981, the Reagan-administration was supported by economics and financial lobbies and started thirty-period financial deregulation. Later, the Reagan-administration also deregulated the savings loan company and allowed them using deposit money to do risk investment. But by the end of 80s, hundreds of company failed. It has been described to be the biggest bank robbery in the history at that time and it caused millions of people lost everything over one night. The

According to the work examined in this study the global recession that occurred in 2008 and 2009 was partially a result of the financial industry's failure to be responsible for the decision it made in using financial instruments that were risk and very complex in nature. The culture of corporations were constructed on risk-based rewards instead of rewards that resulted in value for stakeholders. The financial risks that banks took on were not well comprehended by the public or regulators and the mass media also failed to understand the risks that the banks had entered into with certain financial agreements.