What Is The Great Recession

For many people taking this course the Great Recession was an event that many of them don’t remember completely due to them only being young enough to not have been part of the work force at that time so with this report I will be covering what were the event and actions that lead up to the recession, what was happening in the economy during, what actions the government and Federal Reserve took to begin to pull out of the recession and finally how we are today during the recovery process. I will be using reliable sources to support my answers to the best of my ability. First let us start with the big question, what was the Great Recession? The Great Recession refers to the time period from December 2007 through June 2009. During this time …show more content…
With these conditions it affected the unemployment rate which rose from 5 percent to up to 9.5 percent until reaching it highest at 10 percent in October of 2009. But from what we know that is not the true number of people who are not employed, the number was much larger. But that is not all the housing market was hit very hard during this period. House prices fell 30 percent during this time and many company under the S&P 500 fell by over 50 percent. To give a sense of scale this is the worst hit out economy has taken post World War II. Now that we know a bit more about what the Great Recession was I am sure you are wondering what caused all this to happen. To explain this we are going to need to go back to 2006. This is when house prices started to fall, at first realtors thought this would be good …show more content…
According to an article published by Bloomberg, it seems to be just climbing out of a big hole. Looking at statistics it would seem we are going to be just fine. The reason for the concern is that we were hit harder this time than any time before and troughed at a much lower point than previous recessions before it. But trends show that we are on our way to full recovery by some point this year, at least where unemployment is concerned. We are currently in a deceleration with the growth of the real GDP falling from 2.1 percent growth in the last quarter of 2016 to only 0.7 percent growth in the first quarter of 2017. Though predicts seem to show and possible upturn sometime this year. There is a bright side to all this if trends continue in this manner with labor force participation rate staying on the rise there might still be hope to continue with a stronger economic growth than what we have at this point in