FBR-Beige Book Summary

Our history backtracks similarly as the administration of Andrew Jackson. The daily paper started distribution in 1829 and was known as The Planter°s Gazette. It turned into the Montgomery Advertiser in 1833 and rose as the main daily paper of the new Confederate states by 1861.After the Civil War, Major William Wallace Screws, a Confederate veteran, turned into the proofreader and started to lead the distribution toward article unmistakable quality in

The article covers a number of key concepts in macroeconomics. The first is the idea of the recession, something that Coy discusses at length in the article. We notes that the recession cam e as the result of a real estate bubble that stoked consumer spending. The author notes that the recession ended in 2009 when the economy stopped contracting, but that growth since then has been slow and as a result the economy is below the trendline, so it is underperforming the level where it should be. The author does not note if that trendline was adjusted for the bubble or if it accepts the bubble as being a reasonable contributor to the trendline while the recession is not.

The flow of funds within financial markets is stimulated by the money, bond and mortgage markets. A money market is the trading of highly liquid financial instruments with a duration of one year or less and includes the trading of Treasury bills. Furthermore, bonds are long term investments, with a duration greater than 1 year and are issued by corporations and the U.S. government. In addition, the mortgage market creates loans to finance the real estate market. Once mortgages are issued on a property, banking institutions securitize the mortgages and sell them on the secondary market (CSU Global, 2016). Due to the scale of these three markets they have an extensive impact on the monetary supply and economy.

During 1997-2006, house prices rose 85 percent. This led to an irresponsible consumer spending spree. Millions of people bought a house that they could not afford. Government regulatory agencies and mortgage lenders became less strict with credit restrictions so that people could buy homes without making any down payment. In 2007, however, the home values and sales began to decline. Due to the loss of trillions of dollars in home value, a record number of borrowers defaulted on their mortgage payments. America was put into a recession in 2008 because of the contraction of corporate spending and consumer purchased. The prices of consumer goods spiked, while employment declined. On October 3, 2008, former President Bush signed the Troubled Asset Relief Program; however, the bill did not restore the economy as a whole. By June 2009, America's economic recovery was at its weakest since the end of the Second World War. I chose this event in history because it had a major effect on America’s economy and changed the course of history. Historians need to study the Great Recession because America should learn from their mistakes. The Great Recession was due to different factors; however, if the regulations on credit restrictions were not tampered with, then the severity of the recession could have been

The recession of 2008 is also called the ‘Great Recession’, said to have begun in December 2007, and took a turn for the worse in September 2008, and it was a severe economic problem expanded globally. This recession affected the world economy, and is said to have been the worst financial disaster since the Great Depression. The decline in the Dow Jones this time was -53.8%. Since the official start of the recession in December 2007, and through June 2010 there have been about 2.3 million homes foreclosed in the United States. In 2012, the state with the most foreclosures in January alone was California, with 51,584 houses being repossessed. Unemployment during this collapse was 8.5%, and continued to increase to about 10% as of 2010. People’s reaction to this recession was a huge decrease in spending and borrowing from banks, but an increase in saving.

Another economic crisis was the 2008 Financial Crisis. This crisis was the worst economic disaster since the Great Depression and it led to the Great Recession. In 2006, housing prices began to decline, which made realtors think that the market would return to a more sustainable level. They didn’t realize that there were that many homeowners with questionable credit.

During the early 2000 's, the United States housing market experienced growth at an unprecedented rate, leading to historical highs in home ownership. This surge in home buying was the result of multiple illusory financial circumstances which reduced the apparent risk of both lending and receiving loans. However, in 2007, when the upward trend in home values could no longer continue and began to reverse itself, homeowners found themselves owing more than the value of their properties, a trend which lent itself to increased defaults and foreclosures, further reducing the value of homes in a vicious, self-perpetuating cycle. The 2008 crash of the near-$7-billion housing industry dragged down the entire U.S. economy, and by extension, the global economy, with it, therefore having a large part in triggering the global recession of 2008-2012.

The financial crisis emerged because of an excessive deregulation of business operation of financial institutions and of abusing the securitization mechanism in the absence of clearly defined rules to regulate this area in the American mortgage market (Krstić, Jemović, & Radojičić, 2013). Deregulation gives larger banks the opportunity to loosen underwriting lender guidelines and generate increase opportunity for homeownership (Kroszner & Strahan, 2013). After deregulation, banks utilized many versions of mortgage loans. Mortgage loans such as subprime and Alternative-A paper loans became available for borrowers challenged to find mortgage lenders before deregulation (Elbarouki, 2016; Palmer, 2015). The housing market has been severely affected by fluctuating interest rates and the requirement of large down payment (Follain, & Giertz, 2013). The subprime lending crisis has taken a toll on the nation’s economy since 2007. Individuals who lacked sufficient credit ratings or down payments resorted to subprime mortgages to finance their homes Defaults on subprime and other mortgages precipitated the foreclosure crisis, which contributed to the recent recession and national financial crisis (Odetunde, 2015). Subprime mortgages were appropriate for borrowers with substandard credit and Alternate-A paper loans were

Recently, the U.S. and world economy experienced a global economic recession in 2008 that was considered by some to be the worst economic crisis to plague the U.S., and ultimately the rest of the world, since the Great Depression of the 1930s. This global economic recession is popularly thought to be a result of the housing bubble crash in the U.S. as a result of risky

All the economy’s parts seem to be working together for a change: joblessness is under 5% - a 24 year low – yet inflation is holding steady at 3%, a combination that economists thought impossible” (Pooley). This article placed the economy in very favorable position, but the economy collapsed back in 2008 when Wall Street folded. In a video published by Johnathan Jarvis titled “The Cause and Effects of the 2008 Financial Crisis,” the video explains how the economy went from being healthy and vibrant, to desperate and helpless because investors were creating mortgages with people who were not financially stable, and those mortgagors were more than likely struggling to pay their debts prior to attaining a sub-prime mortgage loan. When these sub-prime mortgages defaulted, the house was reposed by the mortgagee and put on the market to sell. When the house went up for sale because of the default, the

The Housing Disaster and subsequent Great Recession of 2007 were predicted by several well-known Economists, although it still caught a majority of the Country and World by surprise! I wasn’t prepared for this economic shock either, as I had just finished real estate school and passed my State and National licensing exams during the previous year. It was a tough start to a real estate business but proved valuable in the lessons I learned during those next several years.

     The United States economy is slowly creeping towards a recession. The stock market has shown repeated drops. Consumers are not purchasing and even savings and loans are down for fear of a huge economic crash. The only bright spot is a housing market that refuses to yield as apparently consumers are still positive enough to purchase houses.

THE SEVEN COMMANDMENTS OF ANIMAL FARM. The seven commandments are the basic principles of Animalism worked out by the pigs and described as the originally “unchangeable laws” by which the animals were to obey and follow the rules and were to never to be broken. The seven commandments were written on the wall of where the barn was, by which where the animals day by day read were: Page: 43: 1.

One of the first indications of the late 2000 financial crisis that led to downward spiral known as the “Recession” was the subprime mortgages; known as the “mortgage mess”. A few years earlier the substantial boom of the housing market led to the uprising of mortgage loans. Because interest rates were low, investors took advantage of the low rates to buy homes that they could in return ‘flip’ (reselling) and homeowners bought homes that they typically wouldn’t have been able to afford. High interest rates usually keep people from borrowing money because it limits the amount available to use for an investment. But the creation of the subprime mortgage

As discussed in our lecture, when we debated the various positions that Arthur Schlesinger took on in terms of teaching multiculturalism in American schools. He was not wholly against the teaching of multiculturalism, however, he did not advocate for teaching multiculturalism at a young age, when children are sensitive to learning about the identity of themselves and others. He believes that every culture has their own history and their own historical perspective, but he believes that in American society, there is only one way to teach multiculturalism as to make sure that Americans stay unified, and children understand their roles as Americans. Of course, by other scholars, this perspective was to be disputed. By teaching American history through one historical perspective, it can leave out and sugar coat many crucial details about other historical perspectives and overlook the details of struggles of other persons involved and their contribution to American history.