The document discusses the recession in the United States, defining it as a contraction of GDP for at least two quarters. It then discusses the causes of recessions, including decreased consumer confidence leading to lower spending, production and higher unemployment. It also covers the subprime mortgage crisis in the U.S. and its role in the 2007-2008 recession, with many subprime borrowers defaulting as home prices fell. This caused losses for banks and helped spread the crisis globally.