Name: Cabahug, Rizalyn O.

Year/Section: 3rd – 4FM-3

Assignment 5- Lesson 5: Global Finance & Electronic Banking

w/ International Seminar

How did the US government solve the mortgage crisis of 2008? Comparing
to our current situation, how US will revive the economy in post Covid 19
pandemic?

The Great Recession started far earlier than 2008. The first symptoms of trouble
appeared in 2006, when house prices began to decline. The Federal Reserve responded
to the subprime mortgage crisis in August 2007 by injecting $24 billion into the banking
sector. 1 Congress authorized a $700 billion bank bailout in September 2008, which is
now known as the Troubled Asset Relief Program. Obama proposed the $787 billion
economic stimulus plan in February 2009, which helped prevent a worldwide
depression. The following is a timeline of key events during the Great Recession of
2008.

While each crisis is unique, policymakers can adapt previous responses to the
current circumstance in order to emerge with the skills, capabilities, and infrastructure
required for long-term resilience. The current situation is evolving on a daily basis, but
what we've learned so far can begin to complement what we know from the past. The
United States will resurrect the economy in the aftermath of the Covid pandemic by
assisting people through the crisis and towards recovery. Much of the economic
reaction to far has concentrated on giving short-term assistance, such as keeping
individuals employed, reducing crucial costs, and providing companies with financial
support to keep them from shutting or declaring bankruptcy.