Describe the causes and effects of the global credit crisis. Name two global exchange services and explain how they reacted to the global credit crisis.

I really need the answer.

(Answers may vary)

The global credit crisis started with the failure of Lehman Brothers, a global bank. However, this wasn’t the cause, only the first sign that there were problems. Lehman Brothers, and other banks enjoying a prosperous economy, took risks that were not advisable according to the traditionally conservative industry. They loaned money to people and corporations that could never hope to pay back the loans. Regulators, the watchdogs of the banking industry, also are to blame for knowingly allowing the banks to take on these loans, as they were also complacent in the booming economy. Many other banks faced the same fate, some caused by their own faulty loans, but also because Lehman Brothers started a domino effect due to the global markets that depended so heavily on them.

GXS is a global exchange service that handles more than 12 billion transactions annually. Approximately 600,000 businesses worldwide utilize the GXS Trading Grid, a product that enables electronic exchange. Because GXS is strong financially, its response to the credit crisis was to take on acquisitions and partnerships of smaller companies that had software and products that complemented their portfolio. In July 2009, GSX partnered with CGI, a technology company, to integrate their services to provide supply chain finance solutions to banks and other financial institutions.

Another global exchange is Forex. This matches independent traders with global currency markets. During the credit crisis, Forex traders were found guilty of rigging the foreign exchange market by colluding, although these traders were not employees of the company but using the trading platform.

Explanation: Edmentum Sample Answer.

the answer is a. 250 percent.

agriculture revolution