This is what I see it coming down to. Chain reactions.

Banks won't give loans to keep businesses and corporations going.

So places go out of business or just lay off people. That trickles down.

Other companies are forced to lay off people because they are losing money, but they are losing money because people aren't shopping. People can't shop without jobs.

It seems like alot of this places are quitters. My business ideals would involve attempting to weather the storm. Not further destroy the economy by laying off people who in turn will have to file for unemployment and welfare.

It is turning into a neverending cycle.

I'm no business major, poly sci holler, but thats my couple of pennies.