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1) What is a credit crunch?
Credit crunch is when the is a shortage for money from the bank or other
lenders and the government has to get involved to help and save the bank
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2) How did the Credit Crunch of 2007-2008 begin?
The credit crunch happened in American and as American is the centre of
all the banks and as soon as the sub prime began to take loans from the
banks they weren’t able to pay it back so that meant bank from other
country faced the same problem too so that mean for example people in
the UK had to go to the banks to get their money out before the bank closed
down
...
Some
business could not afford to have employees so they had to leave
...
People life was stressful because they did not
have enough money to pay for daily thing
...