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United States has witnessed numerous periods of economic depressions and boom ever since it came into existence. At this moment too, US is passing through one of the most difficult times economically. Fiscal deficit, high unemployment and falling exports have hit many of its sectors badly. The housing sector too has been severely affected by the 2008 economic crises.
Prior to the 2008 economic crises, the housing sector was witnessing one of the largest economic booms in the history of the country. The demand for houses went over the roof and as a result people started to indulge in speculation and the boom eventually turned into a massive housing bubble. (Bardhan, Edelstein and Kroll, 24)
The sector is still in a bad shape. Number of people defaulting on their mortgages is still extremely high and the total worth of the houses which has been kept as collateral is still far below the total loan amount borrowed by the house owner. High unemployment levels and excess inventory has also made matters worse for the overall sector. (NAHB)
Though the delinquency level is extremely high, the percentage of people who defaulting on their loan installments have reduced to the lowest levels since the beginning of the crises in 2008. The decline in percentage means that more and more people are paying their installments on time which is a beneficial not only for the banks but for the overall housing sector. (Delinquency Decrease)
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United States Economy
We are going to look at the industries that have become additionally important in the United State economy and how the government is taking over the share of the nation’s output. The growth of people’s income, the distribution of people’s income among many more will be addressed.
The researcher’s focus will be the criminalization of illegal immigration, e.g., illegal immigrants who are sent to jail rather than be deported. The researcher’s main argument is that illegal immigration affects the economy of the United States in adverse ways when illegal immigrants are sent to jail rather than be deported.
This happens in numerous ways, including the using of force, intimidation, and other means. This usually happens with the main aim being the exploitation of the hapless victims. This act has progressed over the years, from a pastime for rich men during the slave trade periods to a full time business in the black market world (Kathyrin 28).
Given their critical role in the society, banks are some of the most regulated firms everywhere and US banks are on exception. In US there are numerous regulations which create various restrictions and requirements in the banking industry. However, understanding the banking regulations in the country is a complex issue given the separate yet overlapping jurisdictions of the 50 states and federal government (Shanmuganathan, Merlin and Bryan 390).
Welfare Distribution in the United States of America.
Wealthy nations like the United States are all welfare states. They represent industrialist states following judicious measures of socialism. By following such socialism, different institutions are socialized with the purpose of diminution in economic uncertainty.
The cost of housing or for that matter for any commodity solely depends upon the demand-supply dynamics if it is allowed to operate in a free market without any government intervention. Housing demand was on an upswing since January 1993. The median housing price, which was $125,000 in 1993, doubled up to $250,000 by 2006.
In principle, we know that we are in a recession when there is a general decline in the economic activity. This becomes obvious when we look at the real gross domestic product. This is the most viable indicator to know the state of the economy. This is regarded as a noteworthy turn down in economic activity just after the economy reaches a peak and end when it reach trough (New York Times, 2010).
Changes usually take place throughout the globe during recession. Nations use sound economic policies to minimize the effects of recession. Weaver, (2010) indicates that trade should create a balance in the global economy. However, this is hard to attain because of the numerous forces that control the activities of the market.
had been a critical stage in its downward slide towards a deep recession although there are some encouraging signs lately but the signals are still weak as borne by various economic data. A hard choice to make for the Federal Reserve Bank is whether to keep interest rates close
From a population of just 900,000 people after the Second World War, the city in 1998 reached a population of 10 million before slightly falling to its present population of 9.82 million. Moreover, the
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