英语论文网

y, which has become the consensus indicator of the depth of the current financial crunch:Fig (4) Taking the temperature of the current Financial crisis.

The National Bureau of Economic Research indicated that the deterioration in the labor market throughout 2008 was one key reason why it decided to state that the recession began last year.

Payrolls have been trimmed by 1.2 million jobs in the first 10 months of this year. The NBER considered certain measures such as real personal income, industrial production as well as whole sale and retail sales. All those measures reached a peak between November 2007 and June 2008. Moreover, the gross domestic product is also put into consideration.

The current recession is one of the longest downturns since the Great Depression of the 1930's. The last two recessions (1990-1991 and 2001) lasted eight months each, and only two of the 10 previous post-Depression downturns lasted as long as a full year, according to the NBER.

In a statement, White House Deputy Press Secretary Tony Fratto said that even though the recession is now official, it is more important to focus on the steps being taken to fix the economy. Tony Fratto also said that 'the most important things we can do for the economy right now are to return the financial and credit markets to normal, and to continue to make progress in housing, and that's where we'll continue to focus,' furthermore he add that 'addressing these areas will do the most right now to return the economy to growth and job creation.' The real concern for economists is that there is no end in sight for the downturn.

Thus we can say that because of the contraction of the housing market and problems in financial markets the degree of the current recession could be the most severe in decades, perhaps comparable to the great depression. There is a significant relation between the severity of the decline and the duration of the recession. These two measures are not independent.

2.3. THE EFFECTS OF GLOBAL RECESSION ON KUWAIT

The effects of global recession is not exclusive only to the business community, but among Kuwait's workforce as well. A good number of companies have reportedly already shed jobs. However, the banking assets in Kuwait increased 10.6 percent in 2008 compared to previous year. The increase in banking asset value was 3.2 billion Kuwait Dinars (about 11.52 billion U.S. dollars), shooting up from 35.5 billion dinars in 2007 to 39.3 billion dinars in 2008.

All sector in Kuwait suffered the impact of global financial meltdown including the real estate sector. It has been affected by Laws 8 and 9 for the year 2008, which could prevent companies from doing business in the residential sector and prevent banks from offering finance for residential real estate market, he said. 'Although Kuwait property sector has suffered from inflation in prices, due to global recession, the time is now ripe for the market to begin recovery process'.

Al-Haddad explained that the real estate companies listed on the Kuwait Stock Exchange (KSE) are among those, whose shares are being actively traded, which implies that the sector involves confidence of traders and investors. Signs of easing in property market have already commenced with courts exempting Islamic Banks from constrictions of Law 8 and 9, enabling them to resume funding fo