The Great Recession Of The United States

Max: Hi I’m Max Lessins. This is Crash Course for economics and today we’ll be discussing the Great Recession, focusing on the fiscal and monetary policies used to recover from the 2008 economic meltdown.

The single greatest problem facing America today would be the threat of a Recession in the stock market. Because if America goes in to Recession again the stock market will crash again. Then we would not need to worry about this stupid war because we will be broke.

George Santayana, a Spanish poet and philosopher said, "Those who do not learn history are doomed to repeat it." This quote applies to the Great Depression of 1929 and the Great Recession of 2008. There are many similarities between the two, like the causes, the actual events, and the aftermaths. Several factors led to the Great Depression, which were the following: overproduction by business and agriculture, unequal distribution of wealth, Americans buying less, and finally, the stock market crash of 1929. The Great Recession also had similar factors leading to it, like the housing “bubble” burst and less consumer spending. In both events, the Presidents enacted programs that they believed would help the American people.

After I got the assignment and read what the topics were, I started doing research on all the topics you gave us. After doing the research I decided I was most interested in the United states recession in 2008. It also interested me in finding out what we have done, in the middle of doing, and what we are going to do to get out of the recession. I decided to choose this topic about the US economy and what we were and are doing to get out of the recession because I wanted to learn more about why we went into a recession and how we are now working on how to get out of one. I wanted to write about all the things that led up to the recession and write about what we are doing and going to do to fix the recession. I started off by finding a lot

A recession is full-proof sign of declined activity within the economic environment. Many economists generally define the attributes of a recession are two consecutive quarters with declining GDP. Many factors contribute to an economy's fall into a recession, but the major cause argued is inflation. As individuals or even businesses try to cut costs and spending this causes GDP to decline, unemployment rate can rise due to less spending which can be one of the combined factors when an economy falls into a recession. Inflation is the general rise in prices of goods and services over a period of time. Inflation can happen for reasons such as higher energy and production costs and that includes governmental debt.

According to Investopedia.com, “A recession is a significant decline in activity across the economy, lasting longer than a few months. It is visible in industrial production, employment, real income and wholesale-retail trade. The technical indicator of a recession is two consecutive quarters of negative economic growth as measured by a country's gross domestic product (GDP); although the National Bureau of Economic Research (NBER) does not necessarily need to see this occur to call a recession.” Fiscal policy is the use of government spending and taxation to try to influence the economy. This is done many times in an attempt to prevent a recession or at a minimum, to try to stabilize the economy. Monetary policy is the central bank, currency

Throughout society there are many elements that can affect an individual’s life blamelessly, an economy is one of the most significant influences in an individual's life. Although the performance of the economy isn’t always present in an individual’s thought process indefinitely, it plays a key role in almost any decision one makes. The purpose of conducting this research is to place heavy emphasis on the gruesome financial crises that took place in the time period of December 2007 and ended June 2009, the disastrous financial crisis is notoriously known as The Great Recession of 2008. By analyzing and identifying The Great Recession of 2008 it allows us to fully gauge the validity of the crisis and the effects it had on the

The economic crash of 2008 was a difficult time for all of the people around us. This situation has impacted our country and what is around even to this day. It was a tough time for a lot of families and big businesses. This stock market crash was one of the worst the United States had ever had. Even to this day we are still trying to repair it what went down. Like the employment of jobs, the cost of our products, and homes that were taken away from families. The economic crash came from nowhere and it was a shock fro mainly families, especially the middle and low income families. This took many homes away from them and the job eventually leaving them with nothing. This had also hurt many foreign countries on their way, did trade and their investments. Many housing companies going down with this and also the way banks were running. Why and how did this all happen? This is one of the biggest economic crash in the United States that is still in the process of being repaired.

When a government is faced with an economic downturn it has really has two options. The first option is to do nothing since periods of growth and decline are natural part of the economic cycle. However, if the decline appears to be more than just a general economic correction, then the second option comes into play. This second option is to enact various forms of legislation to help create an environment more acceptable to economic growth. The legislation can be industry specific, such as helping to increase home purchases, or more wide spread, like lowering of federal funds rate to help make the lending of money for all businesses more cost effective.

The Global Financial Crisis of 2008 is considered by many economists to be the worst financial crisis since the Great Depression of the 1930s. It resulted in the threat of total collapse of large financial institutions, the bailout of small and big banks by national governments, and downturns in stock markets around the world. In United States, the housing market also suffered, resulting in evictions, foreclosures and prolonged unemployment. The crisis played a significant role in the failure of key businesses, declines in consumer confidence, declines in consumer wealth estimated in trillions of US dollars, and a downturn in economic activity leading to the 2008–2012 global recession and contributing to the European

The great recession of 2008 affected everyone around the world. The great Recession is considered the second worst economic crisis in American history, behind the Great Depression.

Intro: Studying Economics in the backdrop of the Great Recession emphasised the power that Economics leverages upon global society. My lack of understanding of the Economic mechanisms behind the recession led me to read Krugman's "End This Depression Now", and attend the Cambridge University Marshall Society Conference, “The Power of Policy”. The most engaging debate was that between Madsen Pirie of the Adam Smith Institute, and Lord Skidelsky. Both these sources introduced me to alternative perspectives regarding the causes and effects of the recession; however, what I found most interesting was witnessing the polarizing beliefs of the most efficient way to respond to the UK’s recession, both from highly respected academics. In Krugman’s opinion

In this reflective case study I will discuss the financial crisis that occurred in the U.S. in 2008 which precipitated one of the largest catastrophe within the housing market causing a collapse amongst the financial institutions. I will also discuss about how the banks were at fault for giving out loans to individuals who were not capable of affording to pay these loans back and all financial institutions that should have had regulations on the loans that were dispensed as well. Though, the collapse with the financial institutions was not only because of faulty loans that were given out but the overvaluation of securities which caused U.S. real estate prices to descend, the overvalue from some of the subprime mortgages, financial

Economic recessions have been around for years and are very unpredictable for anyone can be affected by these economic downfalls. They had an impact on society for decades, and the effects of these economic recessions are still felt to this day. There have been more than forty seven known recessions that have occurred in this country over the years, and are a major part of American history. Although economic recessions are a natural hardship that the government and its citizens will encounter at some point in time lasting about only six months, the most famous and well- known recession that had happened in this country would be The Great Depression. The Great Depression, one of the worst economic depressions in the history of the industrialized world, lasted from 1929 to 1939. It began when the stock market crashed in October 1929, which resulted in millions of investors losing their jobs. As a result, consumer spending and investment had dropped, and by 1933 the country was at its lowest point and millions of Americans were left unemployed also half of the country's banks had failed. During this time of crisis, average American citizens had undergone many obstacles just to survive and to feed their families. With that being said, living everyday life was a struggle for most Americans.

A recession in the world economy would mean at least two consecutive quarters of contracting world economic growth. A recession is a natural part of the economic cycle and is unavoidable in the process of long-term economic growth. As long-term economic growth happens by improving economies efficiency, this is generally achieved by supply side policies. For this reason determinants would include, policies to reduce unemployment, entrepreneurial spirit, technology, education and training and investment. It is important to understand how to improve long-term economic growth in order to deal with and adjust when a recession hits. Changes in investors can often lead to a slowdown in the economy becoming a recession as firms over-anticipate demand they often end up with too large of a stock of finished goods. Firms are, in this situation, often forced to cut production by more than the original fall in demand. The resultant de-stocking turns a slowdown into a recession.