There are certain eternal verities and inviolate precepts of nature which regulate the functioning of this universe. These principles are no respecter of persons and everything under the sky is subject to the long arm of these principles. The kernel of these principles is respect for humanity. Whenever anyone, be it an individual or a nation, acts in contravention of these verities by giving short shrift to the respect for humanity, the nature crushes him or it under its ruthless and razor-sharp wheels. The plight of America is a case in point. Back in the days, America was quoted as a byword for human rights and democratic or egalitarian attitudes. But no sooner had America started polishing off humanity and committing crimes against it by establishing Guantanamo Bay and Abu Gharib than its supremacy began to wane. The gravest financial crisis which has infected the US economy about two weeks ago is a presage of the fact that US hegemony is going to wither away. Currently, America is in the toils of a financial crisis of diabolical proportions which is the worst one since the Great Depression of the 1930s and its government has been sucked deep into the maelstrom of its capitalist industry. This financial crisis has stood out like a sore thumb with many manifestations like choked-off credit lines, massively leveraged firms, assets gone bad, sinking mortgages, panicked consumers and paralysed companies. This credit crunch, which owes its origin to a meltdown in US home prices after a frenzied boom fuelled by easy credit, has led to the collapse of two investment banks including the venerable Lehman Brothers and the government bailout of housing agencies Fannie Mae and Freddie Mac and insurance giant AIG. Problems that originated in the credit markets and first showed up in the area of sub prime mortgages have fanned out throughout the financial system. In order to get the picture precisely, let us discuss the aetiology of this financial crises. On having sober reflection, three factors stand out as the prime reasons for this. To start with, it is the free market principles with proxy regulation system that have nibbled away at the basis of US financial sector. This crises is the upshot of too much debt, after governments and central banks failed to constrain the credit expansion of the early years of this decade. Bankers then irresponsibly exploited the opportunities held out by an easy credit regime. Wall Street inflamed the demand for high investment products in an era of low interest rates - hence the attraction of the sub-prime mortgage market. The traditional regulated banking system was pushed aside by Wall Street's new financial Ferris wheels who created their own money in the form of complex securities and furiously traded these exotic instruments. Wall Street heavy hitters grew fabulously rich by simply passing around paper. Inflated or semi-worthless securities increased in bogus value at each stage of the trading process. Secondly, one of the reasons of this crisis resides in the unconscionable cost of America's foreign involvement. US can ill-afford to fork out two billion a month for the Iraq war. Much of Iraq war's debt has been financed by foreign investors that can't continue much longer. Thirdly, it is the incapability of the Bush administration which has led the situation go downhill to this point. This financial crisis will be the last nail in the coffin of Mr Bush. In order to give a leg-up to the economy, the US administration scrambled and buzzed around in a bid to have an unprecedented $700 billion bailout plan. If we have an analysis of the plan, this is fatally flawed. Firstly this plan gives untrammelled powers with no supervision to the Treasury Secretary. Secondly US government's $700 billion bailout plan will be an excessive burden on taxpayers. Thirdly, the US economy cannot afford extra-debt. Fourthly, this plan will not be sufficient enough to the rescue of sinking economy. Fifthly, this plan marks a stark shift from the support of deregulation and smaller government that has guided economic policy over the last few decades in the US. This bailout plan has brought to light US double standards in financial respects also. The US upbraided Asian economies for making a fist of bailing out cash-stepped companies during the 1997-98 Asian financial crisis and asked them to let inefficient companies and corporations bleed to death. But now it is throwing a lifetime to its companies ravaged by a credit crisis. The writer is a foreign affairs analyst