Credit Crunch

Dear friends. A thousand apologies, I couldn't post anything useful last 5 months. Now, I'm doing computer science in middlesex university and I'm quite busy with doing coursework, studying, cooking on my own and with my works. New place, new people, multicultural environment, new rules, new regulations, new lifestyle and new challenges kept me away from my regular things. But, now, I'm getting used to it and really like it; doing things own my own. Initially, when I join this university, I had to struggle a lot to know the rule and act according to the regulations and to get a job. Here in London, now it's pretty difficult to get a good job and they say it's because of the "credit crunch".

What is it? Whenever they say this phrase, I act as if I know the word. I asked about this from some of my friends, they told me about it what they think, but not even close to the truth. Then, I started googling about it in the Internet and I found that it isn't a solid concept or clear-cut thing to explain. It's a name for a problem and its roots. I try to explain about it as accurate as possible and I put some links below for further reference.

The main idea of credit crunch is reduction in availability of loans or credit crunch is a state in which there is a short supply of cash to lend to businesses and consumers. I guess from what I studied by reading all these webs, unplanned lending causes credit crunch. I seriously don't know how it affects job market. I guess, companies face problems when there is no lending from bank and they couldn't afford to pay salary for its employees.

Times news paper clearly explains : http://www.timesonline.co.uk/tol/money/reader_guides/article4530072.ece

some of the other links on this area of study:

http://www.creditcrunch.co.uk/

http://en.wikipedia.org/wiki/Credit_crunch

http://news.bbc.co.uk/1/hi/business/6993980.stm