Literature Review:
The Global Financial Crisis took over the global economy in July 2007 due to the credit crunch, particularly when US investors lost confidence in the value of sub-prime mortgages thereby causing a liquidity crisis. As a result, the US FEDERAL BANK invested large amounts of funds into financial markets. The crisis had worsened by September 2008 with global stock markets crashing and becoming extremely volatile (Eves, 2010). The housing sector of the US saw majority of home owners, who had drawn out sub-prime loans, unable to make their mortgage repayments. With values of homes dropping sharply, the borrowers were left with ...
