Economics Homework Help

• During and immediately following the 2007-2009 financial crisis, the financial crisis was characterized as having two main elements: a liquidity crisis followed by an insolvency crisis since many of the banking financial institutions were beginning to experience liquidity issues, a sharp increase in the number of bank failures, increase in the number of financial institutional mergers and additional regulatory reforms.

In your paper,

• Develop possible measures to mitigate the too-big-to-fail problem.
• Hypothesize several areas where banking regulations may be heading in the future.
• Summarize the trends in the financial institutions industry before and after the financial crisis of 2007-2009 and their impact on the economy.
• Explain how the problems related to the financial crisis of 2007-2009 have made it more difficult for borrowers (e.g., individuals, businesses, and not-for-profit organizations) to get loans.
• Summarize the various types of risks banks face and give examples of how banks manage those risks.