Since September 15th, the United States stock market has been in a state of confusion. The collapse of Lehman Brothers and AIG has led to the sharp decline of the Dow Jones Industrial and other large indexes. Since the world’s largest economies are interconnected, this once domestic crisis has become an international financial disaster. The problem with this crisis is currently contained in the financial sector of most countries, so it currently does not pose a large security threat to any of the nations involved.
The United States economy has been hit hard. Unemployment is on the rise. CNN Money reports that mass layoffs, a layoff of over 50 people, haven’t been this high since September 2001. The credit market is basically froze. Foreclosures are at levels not seen before. A recession approaching if not already here. Though the US economy is failing, our security as a nation has not been jeopardized. Most of the trouble is in the financial sector. Luckily not much of the trouble has affected real capital. Most people on “Main Street” haven’t felt the full force of the crisis yet. The people, though upset, will not start a domestic security threat. Defense contracts are not being broken. The United States is not losing any of its defense capabilities. Most nations affected by the crisis are not losing anything when it comes to defense capabilities. The crisis is not affecting any nation’s security right now.
The threat of the crisis becoming a security issue exists. The crisis is not at its worse possible point yet. The entire global economy has not crashed. The world has not entered a state of chaos and disorder. If for some odd reason the world was to suddenly have a financial crash then some countries might become unstable and security would become an issue but that is not realistic at this point.
Though it could become a security issue at one point, the financial crisis is not going to cause a state to worry more about its security.
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