MaestroJ - digital strategy & new media

I’m not sure about you, but until recently I had little understanding of what exactly has caused the current US recession, triggering the global financial crisis, rippling through the UK, here at home, and the rest of the world.

The main cause was the sub-prime mortgage crisis in the US, which refers to mortgages which were given to people who’s credit ratings are “sub-prime” or bad. Greedy lenders and brokers who were only interested in gaining the commissions for the mortgages, and gave them to people who had no means or intent on paying back them back.

I always prefer diagrams, so below are two diagrams which explain the sub-prime mortgage crisis. Click on Diagram 1 for a summary of the housing bubble that set the stage for the crisis; and click on Diagram 2 for a summary of the sub-prime mortgage crisis and its effects on Finance and Goverment.

Diagram 1

Diagram 2

Now I love a good diagram, but how much better would it be if stick people explained this whole unfortunate situation?! Well I’ve got that here for you as well. Stick people demystifying the sub-prime mortgage crisis can be found right here!

Jokes aside, that pdf did more to enlighten the whole thing to me than any report I’ve hiterto read.