Causes of Economic Losses for Businesses - Essay Example

The paper will continue to discuss the possible causes of bankruptcy, how they affect the businesses in question, and the way such situations can be prevented.... The author of the paper "Peculiarities of Bankruptcy of businesses" will begin with the statement that the main motive of businesses operating in the global business environment is to earn a profit or rather at least generate enough revenue to meet its costs.... In order to facilitate their operations, many businesses are likely to take loans from banks, financing companies, or other investors and then use this cash to invest in further projects or assist in financing their current operations....

This research paper "Effects of economic Recession on American Jobs" discusses the recession in the US that commenced in December 2007.... As per the record maintained by the National Bureau of economic Research's Business Cycle Dating Committee, the recession was officially declared to have ended by June 2009, but the actual recession occurred in the years 2008 and 2009.... Owing to the tightness of the credit, people in the US are finding it hard to purchase homes or establish new businesses....

Additionally, the paper provides a take on the issue in the light of past Great Depression in order to identify the similarities in the causes of both events.... Before we look at the causes of the recent economic recession, it would be logical to first of all look at some of the reasons that led to the Great Depression, if for anything, see if some of the causes recur.... Stock Market Crash In the 1920s, the economy was developing at a very high rate due to the birth of many businesses and companies....

economy through his debt-deflation theory, which examines the causes of debt, deflation, and the solutions of the subsequent financial crisis to the current U.... he following are causes of debt, stages of the financial crisis, and proposed solutions as described and examined by Irving Fisher.... Immediate causes of Debt During the Great Depression, the two chief causes of debt for U.... he debt-deflation theory indicates that consumers borrow money for investment on speculation and imagining profits, which leads to losses, debt, deflation, and pessimism....

Journal of economic Perspectives- Volume 7, Number 2- Spring 1993- Pages 19-39Silber, William, L.... Bernanke's article concludes that they amplified the causes of the crisis, posing threat to financial and economic stability (Bernanke, 12).... Though businesses may seem to be big enough to fail, some problems may complicate the ability of public officials to manage the crisis.... Though businesses may seem to be big enough to fail, some problems may complicate the ability of public officials to manage the crisis....

The paper "Contribution of businesses to Economic Stability or Instability" states that businesses have the potential to affect the economic, political, and social stability of any society and the globe as well.... The failure of the financial businesses had plunged the United States into an economic recession.... Under this section, the global financial recession of 2008 will serve as a classic example of the potential of businesses to contribute to economic instability....

This research paper "Individual Income Taxes: Tax-Deductible losses" focuses on tax-deductible losses in the US.... According to the United States internal revenue code, there are certain losses that are considered for tax purposes.... If the losses are casualty or theft of personal, or family, the loss must result from an event that is identifiable, damaging, or unusual in nature.... losses incurred in a business or a profit-seeking activity are deductible whether if not they are due to casualty or theft (Pratt & Kulsurd, 2012)....

The author of the "Problem of economic Recession" paper looks into the issue of recession macroeconomic phenomenon.... (Froyen)According to the surveys of the National Bureau of economic Research, the economy of the most dominating and powerful country U.... It first makes an attempt to provide some general ideas about recession and then it discusses the issue of the current economic recession.... In short, the economic phenomenon 'recession' has been gathering huge attention from people across the world for quite a long time....