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The first film to expose the shocking

truth behind the economic crisis of 2008.


The global financial meltdown, at a

cost of over $20 trillion, resulted in millions of people losing their homes and jobs.

THE SUBJECT OF INSIDE JOB


The film follows a narrative that is split into five parts
how we got here
the bubble (2001-2007) the crisis

accountability
where we are now

FOCUS OF FILM
changes in the financial industry

in the decade leading up to the crisis


the political movement toward

deregulation
how the development of complex

trading such as the derivatives market allowed for large increases in risk taking

FURTHER DESCRIPTION OF CRISIS


the film also looks at

conflicts of interest in the financial sector


It suggests that these

conflicts of interest affected credit rating agencies

MISS KHIZRA

REGULATION ISSUES

MORTGAGE CRISIS

The US subprime mortgage crisis


The US subprime mortgage crisis was one of the first indicators of the late-2000s financial crisis,

characterized by a rise in subprime mortgage delinquencies and foreclosures, and the resulting decline of securities backing said mortgages.

THE TERM SUBPRIME


credit quality of particular borrowers, who

have weakened credit histories and a greater risk of loan default than prime borrowers.

MISS SAMEEN ASHFAQ

POLITICAL IMPACTS OF THE ECONOMIC CRISIS

POLITICAL IMPACTS OF THE ECONOMIC CRISIS 2008


Economic crises of 2008

are one of the reasons Tunisian revolution occurred. And the similar uprisings in Egypt, Libya and now in Syria prove the spread of political unrest.

EFFECT ON EUROPEON COUNTRIES


Freezes or actual cuts in public

sector pay until 2013 Retirement pensions have also been frozen Increase in retirement age Some child benefits and allowances have been abolished Widespread increases in taxation, both direct and indirect (VAT), and Budget cuts are also affecting the areas of international cooperation, local government and the reimbursement of medical expenses

EFFECT ON AFRICAN COUNTRIES


beginning of the crisis Dictatorships in January

2011

EFFECT ON EGYPT
government

imposed a curfew grievance of Egyptian

EFFECT ON LIBYA
Protests use of force against

protesters, Civil war is going on in Libya till today and the world is waiting for its end. As seen in Tunisia and Egypt, it is anticipated that Gaddafi will have to give up but whos to say.

EFFECT ON SYRIA
Global market and

Syria Less exports

MR. ZAIN

FINANCIAL INNOVATION AND COMPLEXITY


The term financial innovation

refers to the ongoing development of financial products designed to achieve particular client objectives, such as offsetting a particular risk exposure (such as the default of a borrower) or to assist with obtaining financing

INCORRECT PRICING OF RISK

The pricing of risk

refers to the incremental compensation required by investors for taking on additional risk, which may be measured by interest rates or fees.

COMMODITIES BOOM
Rapid increases in a number of commodity prices followed the collapse in the housing bubble. The price of oil nearly tripled from $50 to $147 from early 2007 to 2008,

MR. YASIR ABBAS

2008 CRISIS (A DETAILED VIEW)


It was triggered by a liquidity

shortfall in the United States banking system and has resulted in the collapse of large financial institutions, the bailout of banks by national governments.

2008 CRISIS (A DETAILED VIEW)


It contributed to the failure

of key businesses, declines in consumer wealth estimated in the trillions of U.S. dollars, and a significant decline in economic activity, leading to a severe global economic recession in 2008

2008 CRISIS (A DETAILED VIEW)


The collapse of the U.S.

housing bubble, which peaked in 2006, caused the values of securities tied to U.S. real estate pricing to plummet, damaging financial institutions globally.

2008 CRISIS (A DETAILED VIEW)


Questions regarding

bank solvency, declines in credit availability and damaged investor confidence had an impact on global stock markets, where securities suffered large losses during 2008 and early-2009.

2008 CRISIS (A DETAILED VIEW)


Critics argued that credit rating

agencies and investors failed to accurately price the risk involved with mortgage-related financial products, and that governments did not adjust their regulatory practices to address 21st-century financial markets Governments and central banks responded with unprecedented fiscal stimulus, monetary policy expansion and institutional bailouts.

MISS SAMEEN ASHFAQ

IMPACT ON FINANCIAL MARKETS

FINANCIAL INSTITUTIONS

WEALTH EFFECTS

GLOBAL EFFECTS

U.S economic effects

MISS KHIZRA

1929/2008: SIMILAR CAUSES

THE AMERICAN ECONOMY IS FLOURISHING

WITH ECONOMIC GROWTH COMES FRANTIC SPECULATION, BOTH IN THIS CENTURY AND THE LAST

EASY CREDIT