Partha's Econ Blog

For the last few months, US economy is facing hardships that it had never experienced before. As the dollar value started to decrease for the past few months, the demand for US in the global market began to recede. Unemployment has also grew a record high 5.5% just last week. Foreclosure rate was the initial push in this staggering economic situation. As people could not pay their mortgage on time, this economic crisis began to take shape. The addition of increasing oil prices played another significant role as the barrel of oil jumped from $10.75 to almost $140 in less than a year. Food prices have also increased a record high in most nations around the world while food production lessened in major food-producing countries. The stock market also hit by this fractured economis crisis when major stock exchanges around the globe received a sharp shock with record low price in its history. As a result of all these crisis in every sectors of the economy, economists would call this situation an aftermath of inflation that is leading to recession, although the White House officials deny this fact.