The Analysis to the Causes of Worldwide Financial Crisis

Two urgent affairs for most countries worldwide at present are reacting to the financial crisis and recovering national economy.Starting from the essence of financial crisis and its effect on real economy,this paper,by analyzing the development of the subprime mortgage crisis and the role which financial derivations play in financial crisis,explains the fundamental reasons of the worldwide financial crisis at the time being.The paper can give some hints to the healthy development of financial enterprise as well as the design and production of innovative financial product in our country.