Is world facing another economic crash?

The world markets opened today with heavy losses. All the financial media rang the alarm of another global crisis looming large in the horizon after the tumbling of financial markets in Asia and Europe due to the insecurities  caused by the euro-zone debts and U.S. recovery. 

London's FTSE 100 Index fell 2.5%, Frankfurt's DAX shed 2%, Paris's CAC-40 Index dropped 2.6% and Milan's FTSE-MIB lost 3.5%.

The inability of U.S. economy to recover and its slack performance is expected to keep the unmeployment rate at high levels, whereas Barroso’s call for bigger rescue funds seems to have triggered more fear among investors. The real fear now is whether the world will go through another economic crash that would cause widespread bankruptcy of other financial institutions.