Exam 14: The Recession of 2007-2009: Causes and Policy Responses

Between Labor Day weekend and the date of the U.S. presidential election in 2008,

Home price escalation in the U.S. during 2005 fueled booms in

When comparing the severity of recessions since World War II economists focus on the ones in

In the recession of 2007-2009, the unemployment rate first began to increase sharply

The stimulus plan adopted in 2009 by newly-elected President Obama consisted of

A factor tending to slow the U.S. economy early in the recession of 2007-2009 was

A factor that might have contributed to the weakening of the U.S. economy in 2007-2009 was

The discretionary fiscal policy initiatives adopted in 2009 were intended mainly to

The deepening recession in late 2008 sharply reduced consumer confidence, causing

The lowering of the federal funds rate to nearly zero in 2008 is an example of the use of

Economic growth leading into the 2007-2009 recession was

Non-discretionary fiscal policy initiatives adopted in 2009 were intended mainly to

A factor that might have contributed to the weakening of the U.S. economy in 2007-2009 was

Discretionary fiscal policy designed to counteract a reduction in aggregate demand might include

In the years immediately prior to 2005 in the U.S.,

One of the most, if not the most severe recession since World War II began in the

The slow growth coming out of the Great Recession caused the Fed to

If not corrected, the financial sector crisis of late 2008 would have tended to

Of the stimulus package proposed by the Bush Administration in 2008,

TARP was