The document describes the collapse of the mortgage market in the late 2000s, which began with a housing bubble fueled by risky lending practices. As people defaulted on loans, unemployment rose and GDP declined sharply. The government was unprepared and slow to act, making poor attempts to stimulate the economy through measures like the Troubled Asset Relief Program and Dodd-Frank Act. Overall, more preventative regulation could have avoided the crisis and a faster response was needed to mitigate its effects.

1. The Collapse of the Mortgage Market

2.  Began in late 2007
 GDP decline reached record low
 Unemployment rose
 The government was not prepared

3.  Loan gambling by large companies
 A housing bubble formed
 People defaulted on loans
 Homes lay vacant nation wide

4.  Too difficult to get loan
 Nobody wanted property
 Banks were skeptical

5.  The government was not effective
 Very sluggish
 People wanted to save more

6.  Enacted by Obama administration
 Estimated 787 billion dollars
 Supposed to stimulate spending
 Extended UE benefits
 Seen as a failure

7.  Passed July 21, 2010
 Attempt at financial regulation
 End of “too big to fail”
 Still not enough restriction

8.  The government acted too slowly
 Were blind to housing bubble
 Poor attempts at stimulating economy
 More could have been done