The American housing market crash between 2007 and 2009 had a profound effect on the U.S. economy and the banking system. Many large financial institutions had large investments in mortgages, the failure of the housing market lead to a quick decline in the balance of the banking sheets. Investor confidence dropped after the constant questions about the solvency of the ban, especially after the failure of two firms. Although the government did what it could to prevent any sort of failure, it was unable to initiate any sort of growth for the economy. Afterwards the U.S. entered a deep recession in December of 2007. The NBER claims that the recession ended in June 2009. However, recovery has been weak. Growth of the economy has been slow and
