Financial Crisis in US

World economy is facing a common problem called recession; most of the well-educated people have lost their jobs because of this global crisis. It is first time in 20 years, where people are badly affected by this crisis. Unemployment has increased and poverty level in USA has risen. What is the main reason behind this crisis? It is the weak banking capability of USA. Banks in USA give loans without any surety of the borrower.

This thing has made people to borrow loans and later they failed to pay the debts. When the rate of interests started increasing people became weak, and were unable to pay debts. This position made banks and stocks come down and finally it ended up in serious financial crisis. Bush war on Iran was also one reason for this recession. Best way to meet recession is to reduce costs and start living a simple life with the available money.