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2008 Economic Downturn in Spain
The housing market in Spain is now falling in line with the same economic woes recently experienced in the United States. Many recent home buyers now realize they have the obligation to repay loans which amount to owing more to banks than their homes are worth.
Is Fed Fire Fighting Again?The new resolution and the optimism of the new year 2008 for the economic growth is dented by the unemployment report last week at 5%. This has prompted Fed to sooth-saying the market that the interest rate cut is imminent and is able to prop up the economy. However, one may wonder why the decision is announced after so many falls and news about the sub prime crisis have prevailed and how effective the previous policies on the market?