Search results
May 13, 2015 · Despite this familiarity, the financial crisis of 2007–2009 came as a major shock that is widely regarded as the worst financial crisis since the Great Depression of the 1930s, and rightly so.
- Anjan V. Thakor
- 2015
- What Was The 2008 Great Recession?
- Understanding The Great Recession
- Causes of The Great Recession
- Origins and Consequences
- Response to The Great Recession
- Recovery from The Great Recession
- The Bottom Line
The Great Recession was the sharp decline in economic activity that started in 2007 and lasted several years, spilling into global economies. It is considered the most significant downturn since the Great Depressionin the 1930s. The term "Great Recession" applies to both the U.S. recession, officially lasting from December 2007 to June 2009, and th...
The term "Great Recession" is a play on the term "Great Depression" of the 1930s, when gross domestic product (GDP) declined more than 10% and unemploymenthit 25%. While no explicit criteria exist to differentiate a depression from a severe recession, there is a near consensus among economists that the downturn of 2007-2009 was not a depression. Du...
According to a 2011 report by the Financial Crisis Inquiry Commission, the Great Recession was avoidable. The appointees, which included six Democrats and four Republicans, cited several key contributing factors they determined led to the downturn. First, the report identified failure on the part of the government to regulate the financial industry...
The 2001 Dotcom bubble implosion followed by the World Trade Center attacks of September 11, 2001, hammered the U.S. economy. The U.S. Federal Reserve responded by cutting interest rates to the lowest levels since Bretton Woods to stimulate the economy. The Fed held interest rates low through mid-2004. Combined with federal policy to encourage home...
The aggressive monetary policiesthe U.S. Federal Reserve Bank took, along with other central banks around the world, was widely credited with preventing even greater damage to the global economy. However, some also criticized the moves, claiming they made the recession last longer and that they laid the groundwork for later recessions.
Following these policies, the economy gradually recovered. Real GDP bottomed out in the second quarter of 2009 and regained its pre-recession peak in the second quarter of 2011, three and a half years after the initial onset of the official recession. Financial markets recovered as the flood of liquidity washed over Wall Street. The Dow Jones Indus...
The Great Recession lasted from roughly 2007 to 2009 in the U.S., although the contagion spread around the world, affecting some economies longer. The root cause was excessive mortgage lending to borrowers who normally would not qualify for a home loan, which greatly increased risk to the lender. Lenders were willing to take this risk as they could...
The 2007–2008 financial crisis, or Global Economic Crisis (GEC), was the most severe worldwide economic crisis since the Great Depression.
financial crisis of 2007–08, severe contraction of liquidity in global financial markets that originated in the United States as a result of the collapse of the U.S. housing market. It threatened to destroy the international financial system; caused the failure (or near-failure) of several major.
Nov 22, 2013 · The financial effects of the Great Recession were similarly outsized: Home prices fell approximately 30 percent, on average, from their mid-2006 peak to mid-2009, while the S&P 500 index fell 57 percent from its October 2007 peak to its trough in March 2009.
Mar 7, 2024 · Great Recession, economic recession that was precipitated in the United States by the financial crisis of 2007–08 and quickly spread to other countries. Beginning in late 2007 and lasting until mid-2009, it was the longest and deepest economic downturn in many countries, including the United.
Dec 18, 2023 · Updated December 18, 2023. Reviewed by. Thomas J. Catalano. Fact checked by. Pete Rathburn. The financial crisis of 2007–2008 was years in the making. By the summer of 2007, financial...
