Discuss the impact of the global financial recession on our lives Essay

Discuss the impact of the global financial recession on our lives - Essay Example Most of the countries today are still under the influence of the global financial recession that occurred. Apart from affecting a nation as a whole, the global financial crisis had an impact on people at the individual level. Today, most individuals still suffer under the effects of the global financial recession that have persisted. Therefore, the global financial recession continues to have an impact on the lives of people today. A major impact of the recession is that many people lost their jobs. The economic recession had a negative impact on companies, including small and big companies. These companies were a major source of employment for many people. When the companies became bankrupt and others broke down as a result of the economic recession, they were forced to lay off their employees (McKibbin W. and Stoeckel 2009). Therefore, many people were faced with the problem of joblessness. Today, most companies still struggle to improve their financial health after the recession. For this reason, these employ few or no new employees, and they have reduced benefits for existing employees. Therefore, most employees continue to feel the pinch of the recession today. The global financial crisis also led to reduced access to credit. During the recession, many people were unable to access credit, including loans for their personal and commercial uses. This was mainly because the recession had a negative impact on the banking and financial institutions that provide credit. This therefore, put a limit on how fast individuals could grow their business and personal lives using credit. The recession forced financial institutions to raise their interest rates, and this discouraged borrowing. Today, since the effects of the global financial recession have persisted, the interest rates on borrowing in financial institutions have remained relatively high. Therefore, most people still feel discouraged to borrow, in order to expand their businesses or build homes, among