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Question

The topic for this paper is the 2008 sub-prime mortgage crisis. To the extent applicable, tie your summary to an economic theory or concept(s) learned during the course. The typewritten summary should be double spaced and not less than 3 pages in length, excluding sources, title paper, and using APA style.

The 3 pages Term Project will consist of:

  • A short introduction to provide a brief preview.
  • A background paragraph describing the situation with the subject (e.g., why the Affordable Health Care Act was sponsored, the Minimum Wages and its effective loss of purchasing power over time, the ever-increasing Student Loan burden in U.S.). Include key statistics as needed.
  • An analysis of the challenge(s) faced by the country and/or the individuals. Expand on the pros and cons if applicable. Try to tie in to the material we will have reviewed in class.

 

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The sub-prime mortgage crisis began in 2007 and 2008 in the U.S. when the housing bubble busted and led to a global financial crisis. Much before the crisis happened, the interest rates were low, however, the housing prices increased. The U.S. subprime mortgage crisis was a national financial crisis

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