Answer: Mortgage Loans
Explanation: The financial crisis in 2007 that produced a worldwide recession was due to the sudden downturn in the non-conventional mortgage backed securities market in the U.S.
This downturn was caused by a fall in prices of houses
. This put pressure on the mortgage-backed security bond market where massive numbers of bonds based on non-conventional mortgages were suddenly vulnerable to default.
Holders of the mortgage-backed security bonds had to raise large amounts of money to cover the loans they had taken to buy the bonds, thereby creating a liquidity crisis that affected economies globally.
