The banks and other financial institutions were also driven


Do you think that "culture" was a big underlying driver of the global economic crisis? comparing the Indian population to the UK and US population and basing this on the origin of the crisis as bad debt due to sub-prime borrowers, India was much less hit. Gokay (2009), sites that the population in the US and UK were driven by consumerism and this kept them borrowing with the inaccurate security that the homes they bought would be worth much more hence they were actually "rich". Playing on this "demand" the banks created products that would make access to funds easier if not seamless and they lowered the vetting criteria for borrowers.

The banks and other financial institutions were also driven with a consumerism of their own in the sense that they thought that if the debtors could not pay, then the bank would simply sell them off and make a handsome profit. Due to their interconnectivity, this practice spread from the US to the UK.

Indian population on the other hand are "debt averse" as Thakur, and Antony (2012) state in their article. Due to this cautionar y nature and the fact that most Indian borrowers like to repay in the shortest time possible, there is growth in the mortgage business rather than a slump as experienced in the US and UK. What do you think about this perspective?

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International Economics: The banks and other financial institutions were also driven
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