Open Access
Subscription Access
Open Access
Subscription Access
Global Recession-The Sub-Prime Crisis
Subscribe/Renew Journal
The present paper is an attempt to examine the impact of Global recession on the Indian Economy as a whole. The subsequent subprime mortgage crisis in the United States has besieged complete world economy with the varying degree of recessional impact. The central element in the current financial turbulence that led to the recession is the housing bubble. International financial institutions of advanced economies suffered a major setback in terms of heavy losses and it was certain that the impact will be passed on to the various countries of the world. India, like most other emerging market economies is certainly impacted by the recent financial crisis but the impact is not as serious as borne by US or Europe. Thanks to Indian banks that are more or less secured from the ill effects of subprime mess because their exposure to complex instruments like CDO's is almost nil.
Keywords
Global Recession, Housing Bubble, Lehman Brothers
Subscription
Login to verify subscription
User
Font Size
Information
- Stijn Claessens and M. Ayhan Kose, “Back to Basics” Finance & Development March 2009.
- Dean Baker, “The Housing Bubble and the Financial Crisis”, real-world economic review, issue no. 46, 20 May 2008.Available at www.paecon.net/PAEReview/issue46/Baker46.pdf
- Bernanke, Ben (2009), “The Crisis and the Policy Response”, Stamp Lecture at London School of Economics, January 13. Available at http://www.federalreserve.gov/newsevents/speech/bernanke20090113a.htm
- Stijn Claessens, M. Ayhan Kose, and Marco E. Terrones, When Crises Collide, Finance & Development December 2008.
- Claessens, Stijn, M. Ayhan Kose, and Marco Terrones, 2008, “What Happens During Recessions, Crunches, and Busts?” IMF Working Paper 08/274.
- Speech by Dr Rakesh Mohan, Deputy Governor of the Reserve Bank of India, at the 7th Annual India Business Forum Conference, London Business School, London, 23 April 2009. Available at www.bis.org/review/r090506d.pdf
- Global Financial crisis and key risks- Impact on India and Asia. Available at www.bis.org/review/r081013d.pdf
- Global Financial crisis –Causes, impact, policy responses and lessons, available at www.bis.org/review/r090506d.pdf
- Noel Sacasa, Finance & Development December 2008. , Volume 45, Number 4.
- Baker, D. 2008, “The Run-up in Home Prices: Is It Real or Is It Another Bubble?”Center for Economic and Policy Research.
- Mohan, Rakesh (2006a), “Coping With Liquidity Management in India: A Practitioner's View”, Reserve Bank of India Bulletin, April. Available at rbidocs.rbi.org.in/rdocs/Speeches/PDFs/69613.pdf
- Yuliya Demyanyk, Otto Van Hemert, Understanding the Subprime Mortgage Crisis, December 5, 2008.
- The Crisis through the Lens of History, Finance & Development December 2008.
- Dodd, Randall, 2007, “Subprime: Tentacles of a Crisis,” Finance & Development, Vol. 44 (December).
- Bernanke, Ben, 1983, “Non-Monetary Effects of the Financial Crisis in the Propagation of the Great Depression,” American Economic Review, Vol. 73 (June).
- IMF, 2008, Global Financial Stability Report (Washington), October.
- Edwards, Andrew, “S&P's Subprime Report Sees Pain, Hope Ahead,” The Wall Street Journal, March 14, 2008.
- R. Christopher Whalen, The Subprime Crisis -- Cause, Effect and Consequences, Networks Financial Institute, 2008-PB-04 March 2008.
- Turner Review (2009), “The Turner Review: A Regulatory Response to the Global Banking Crisis” by Lord Turner, Chairman, Financial Services Authority, UK.
- Treisa Martin, Caitlin Watt (2009), Subprime Crisis-A Comprehensive Analysis from a Systems Thinking Perspective, Kirwan Institute, The Ohio State University
Abstract Views: 320
PDF Views: 0