The Economic Effects Of The Great Recession Essay

The Economic Effects Of The Great Recession Essay

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Over the course of a decade, the United States economy fluctuated; reaching great highs, and unforeseeable lows. In hindsight, many of these changes were obvious and should have been predictable and preventable; ignorance and incompetence of those in power are the main reason why, to the public, the economy changed so greatly. The greatest of these unforeseeable lows was a major economic crisis known as the Great Recession, which led to years of turmoil. If the government did not step in to aid the economy, the Great Recession would have had the potential to drive America into times as dark as the Great Depression. On the other hand, the technology of smartphones became an economic success, making billions of dollars and creating hundreds of thousands of jobs. The effect of both events is seen in society today, with smartphones influencing a new type of always-connected culture and with the Great Recession influencing the new economic policy of the American government.
The Great Recession was a period of economic turmoil in America due to the failure of the housing market. Officially, the Great Recession began in 2007 and ended with 2009, but its appalling effects can still be seen today. It began when Americans and corporate institutions invested over 8 trillion dollars in the housing market, believing that it is an extremely lucrative business venture. People believed that since housing prices were skyrocketing, any investment will have a positive return in the future, even if it means taking out a large loan in the present. Also, investors believed that even if people defaulted on their loans, the investors can still get their money back by selling the home. Though these investments were made on a whim, without much concern of...

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...ded a new, modern culture. Economically, the boom of smartphones created around $150 billion dollars in GDP growth and around seven hundred thousand new jobs. This is seen with companies like Apple and Google, having factories around the world producing smartphones and programmers, engineers, and designers creating new generations of products. Smartphones now have a large portion of the market share, and is a strong component of the economy.
The United States economy faced pitfalls and successes, but continues to persevere as one of the leading economies in the world. Domestically, average unemployment is lowering and family income is increasing; America has recovered from the Great Recession and is working towards preventing another economic downfall. The evolution or creation of any trend in society is unpredictable, and the future of America’s economy is unclear.

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