{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Section 2B - Financial Crisis of 2008(1)

Section 2B - Financial Crisis of 2008(1) - Section 2B...

Info icon This preview shows pages 1–10. Sign up to view the full content.

View Full Document Right Arrow Icon
1 Section 2B Financial Crisis of 2008
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
2 Overview Key events of the economic crisis The four causes of the economic crisis 3 lessons we should learn from economic crisis
Image of page 2
3 Key Events of the Economic Crisis This economic downturn was characterized by: The boom and bust of the housing market Rising default and foreclosure rates Sharp downturn in the stock market Soaring energy prices
Image of page 3

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
4 Boom and bust of the housing market
Image of page 4
5 Mortgage Default Rates
Image of page 5

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
6 Foreclosure Rates
Image of page 6
7 Sharp downturn in the Stock Market
Image of page 7

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
8 What caused the economic crisis of 2008? 1. Regulations that lowered mortgage lending standards 2. Prolonged low interest rate policy of the Fed during 2002-2004 3. Increased debt to capital ratio of lending institutions 4. High and growing debt to income ratio of American households
Image of page 8
9 1. Regulations Lowered Lending Standards A. Government Sponsored Enterprises (GSE’s): Fannie Mae and Freddie Mac B. Department of Housing and Urban Development (HUD) required them to
Image of page 9

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 10
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern