Essay The Recession Of The 21st Century

1698 Words Aug 30th, 2015 7 Pages
Economically, the 21st century has been characterized by The Great Recession, an ongoing economic decline that began in 2007 when mortgage concerns hit United States markets and share indexes plunged. The U.S. housing bubble burst, damaging financial institutions and creating an interbank credit crisis. World and U.S. markets began to slide in 2008, and U.S. oil prices reached a record $147 a barrel. When the stock market crashed, over $1.2 trillion U.S. dollars in market value assets evaporated, and America entered a deep recession. In 2009, Congress passed a $787 billion stimulus package to help the U.S. economy. In 2010, unemployment reached its highest in the decade at 9.6 percent. That same year, 1,593,081 people and businesses filed for bankruptcy in America. Contributing to these numbers are the increasing levels of competitiveness and productivity. In order to remain profitable in a global capitalist economy, corporations have been downsizing and outsourcing in the past decade. On average, corporations are now about a third the size of what they once were, cutting many middle management jobs. This creates increasing uncertainty and insecurity for workers. The recession and increasing competitiveness have affected the entire world economy, causing the worst global recession since the 1930’s. Recovery has been slow, and the financial crisis continues to affect the economy today. Another social issue of concern is the continued disintegration of…

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