2008 Recession Effects

The house market during the Great Recession had led to many people losing their homes. Americans faced a financial disaster when they say there home values had as dropped even below the amount they had borrowed and subprime interest rates had spiked. The monthly mortgage payments almost doubled in some parts of the country.  Household net worth had dropped by 18 percent more than $10 trillion causing the largest loss of wealth in the fifty

The Great Recession of 2007-2009 was one of the most economically disastrous events in American history. The housing market took a significant downturn during this period. People were not cautious when it came to their money and loans. Larger loans were given out to people, even to those with bad credit and low incomes. These large loans caused many homes to go through foreclosure since people were unable to pay off their mortgage debts. These debts were created by banks increasing the interest rates on the loans significantly in a short period. In 2008, foreclosures were up by eighty-two percent. This increase is significant because the previous percentage of foreclosures was at fifty-one percent from 2007. Unemployment skyrocketed, and people

First, we need to understand how the Great Recession occurred. It all started with President Ronald Reagan in the 1980s. Reagan was famous for his supply-side economic views (Amadeo 1). He used top-down economics meaning he used government intervention to give businesses tax breaks and subsidies to create economic growth. With this he also started a continuing phenomenon to deregulate Wall Street. He believed this would create vast economic growth and it did. But it created a bubble and it

The housing crisis of the late 2000s rocked the economy and changed the landscape of the real estate business for years to come. Decades of people purchasing houses unfordable houses and properties with lenient loans policies led to a collective housing bubble. When the banking system faltered and the economy wilted, interest rates were raised, mortgages increased, and people lost their jobs amidst the chaos. This all culminated in tens of thousands of American losing their houses to foreclosures and short sales, as they could no longer afford the mortgage payments on their homes. The United States entered a recession and homeownership no longer appeared to be a feasible goal as many questioned whether the country could continue to support a middle-class. Former home owners became renters and in some cases homeless as the American Dream was delayed with no foreseeable return. While the future of the economy looked bleak, conditions gradually improved. American citizens regained their jobs, the United States government bailed out the banking industry, and regulations were put in place to deter such events as the mortgage crash from ever taking place again. The path to homeowner ship has been forever altered, as loans in general are now more difficult to acquire and can be accompanied by a substantial down payment.

You pointed out how the Great Recession also affected the inmate with mental health or substance abuse issues. This is a very important factor because many people including myself, focus on the major hits caused by the Great Recession such as, unemployment and the housing market crisis. The inmate mental health population had many hardships with getting needs addressed prior to the Great Recession. The Recession however, could only have intensified the problem. Inmates are not looked upon as tax paying citizens and their needs are often overlooked or not addressed entirely.

America has recently fallen into a great recession, and though some claim we are no longer in a recession, our country and has never quite bounced back. Our economy is fragile and unstable. “In June 2009….native born workers lost 1.2 million [jobs] (Herbert 565).” Businesses are afraid to hire more workers; for fear that consumers aren’t comfortable spending money quite yet. Consumers are afraid to spend money for fear that they won’t be earning any more. People who were once financially stable are barely getting by, some even homeless. This recession has been said to be equal to, if not worse than, the Great Depression. “The human suffering in the years required to recover from the recession will continue to be immense (Herbert 565).” Recovery may be happening, but is definitely an unstable process.

The “Great Recession of 2008" hit The United States and the rest of the world with a force not seen since the Great Depression less than a century ago. December of 2007 saw an unemployment rate of 5.7% as the economy was rolling forward on the back of the high-profiled housing market funded by aggressive loans to consumers with sub-par credit. (National Bureau of Economic Research) This created a proverbial “House of Cards” that fell apart that same month and over the course of two years; the unemployment rate would nearly double as The United States would lose over 8 million jobs according the National Bureau of Economics. The cause of The Great Recession can’t simply be quantified to just one person, agency or company. However, in the broad

The Great Recession officially began in December 2007 and ended in June 2009, making it the longest recession since World War II. Some people blame it on the greed of the Wall Street bankers and others on subprime mortgage lenders. It began with the bursting of an 8 trillion dollar housing bubble. The subsequent loss of wealth prompted sharp reductions in consumer spending. This loss of consumption, joined with the financial market mayhem, also led to a collapse in investment banking. Massive job loss followed the same trend as the dwindling consumer spending and business investment. In 2008 and 2009, the U.S. labor market lost 8.4 million occupations - the most considerable business contraction of any recession since the Great Depression. The Great Recession of 2008 was sparked by the housing crisis and Americans today still struggle with its effects.

Since the Great Depression of the 1930s, the United States of America has experienced many recession. The most recent of these recessions began December of 2007 and lasted till about January of 2009. Within the time period, the United States lost approximately 8 trillion dollars when the housing market collapsed causing chaos in the financial market led to a collapse in business investments. As consumer spending and business investments declined, it led to the loss of 8.4 million jobs which then caused major employment contraction doubling the unemployment rate from 5% to 10%. Fear began spreading among fellow Americans as their job and financial security was hanging from a small threat, which led to a drastic decrease in consumer spending.

In the early 1930s, the Great Depression devastated millions of Americans. There were 13 to 15 million people unemployed and half of the banks failed. With the unemployment rate so high, the U.S government was incapable of doing any significance for the country. Investors lost their savings and capital on new companies. The American economy was threatened by no innovation or productivity to increase economic growth. Until the United States entered World War I, which the American economy started booming. Manufacturing companies were able to come back alive and strong because of the war. Then America was booming until the the crash of 2008. In 2008, the economy had a similar depression state like in the 1930s. The unemployment rate skyrocketed

The Great Recession was a terrible event, but it eventually had a positive effect on my life. My parents have told me to always be aware of the general state of America’s economy because of the events from 2007 to 2009. I have learned so much about the stock market and the economy, mostly at the dinner table, from diagrams made with napkins and glasses on the while my brother and I ate our

The United States suffered its worst recession in the postwar period between the years December 2007 and June 2009. Every sector of the United States economy was severely affected. Many people became unemployed. Though macroeconomists had predicted a stable economy, the Great Recession happened. Policy makers such as Congress became responsible for the economy's recovery. The Great Recession had lots of effects. Recession involves a fall in Gross Domestic Product (GDP). GDP is the total value of both goods and services produced within a country. When a country's GDP falls, there is lower income for people living in the country. This results in high costs of living and increase in poverty. Many people lost their jobs. The category of people

Everybody in the United Stated was affected by the recession that began in December of 2007 and spanned all the way to June 2009. Even though the recession is over, many people are still being affected by it and have still not been able to recover from the great recession. “The recent recession features the largest decline in output, consumption, and investment, and the largest increase in unemployment, of any post-war recession”. Many people lost their jobs due to the recession and some of them are still having a hard time finding jobs and getting back on their feet. Businesses

Ever since the recession we have we experienced a serious economic depression. People loosing jobs that they were going to retire from. A change of location and lifestyle has left thousands of families in America out in the cold. Due to financial hardships homes all over America are experiencing a foreclosure crisis.

This recession has been the biggest economic struggle in my lifetime. Everything that could go wrong went wrong. The event that led to this recession is the housing crisis, where banks were giving out loans, almost without any restrictions. People were getting involved in one of the best economic times in our history. Confidence was everywhere and the ideal mindset hit everyone. When the economy hit all new highs, people thought the supply and demand chain would continuously rise. The business cycle seemed to be a lie to many Americans. However, the business cycle is real and the world lives a part of it everyday. When deregulation became extreme and private companies, especially banks, got all the power, nothing could stop them