The world economy is posted, the problems are complex financial crisis leaves its mark. It will take years to abate the negative effects. A return to the growth rates before the financial crisis there will not be for the time being. (1) high indebtedness of consumers created the financial crisis due to excessive leverage. Private entities have excessively borrowed capital and awarded. In particular US households consumed too much and face massive buttressing. A sustainable reduction in this debt does not take place.
The boom resulted in a blistering first and foremost real estate bubbles. The bubbles are burst, first in the United States but also other countries and must be absorbed through lower consumption. In the case of the US consumer is a high debt and low savings rate. At the same time, U.S. consumers as a result of the decline in house prices and falling incomes suffered a significant loss of welfare. Since 70% of US breeding sound domestic product consists of the consumption component, it is in the case a macroeconomic recovery tend be a weak recovery. (2) a weakened financial system is permanently posted the financial system, and it will take years to fully repair it. In the United States isn’t located primarily to the question of whether a bank is insolvent or not.
Rather strain problems in the shadow banking system. Hereunder are financial intermediaries such as Hypothekendienstleister, money market funds, private equity, etc. The securitisation function which have exercised during the blistering financial intermediaries to facilitate the transformation of savings into investment, has almost completely to a halt. It will take years to fill holes in the financial system, not only in the United States in United Kingdom, Germany, Spain and other parts of Europe. The commitment of Western European banks in Eastern Europe are also cause for concern, as currently developed a financial crisis in Eastern Europe and threatens to expand it will take to restore the credit growth.