Macroeconomics

Aug 10th, 2013
Anonymous
Category:
Art Design
Price: $10 USD

Question description

Special Topic: The crisis of 2008- I was needing help with the following questions.  Answered as questions and not in essay format. 

Critical Analysis

1) Why did housing prices rise rapidly during 2002-2005?  Why did the mortgage default rate increase so sharply during 2006 and 2007 even before the 2008-2009 recession began? 

2) What happened to the credit standards (e.g. minimum down payment, mortgage loan relative to the value of the house, and creditworthiness of the borrower) between 1995 and 2005?  Why did the credit standards change?  How did this influence the housing price bubble and later the default and foreclosure rates? 

4) When did mortgage default and housing foreclosure rates begin to rise rapidly?  When did the economy go into recession?  Was there a causal relationship between the two?  Discuss.

6) Some charge that the Crisis of 2008 was caused by the “greed” of Wall Street firms
and other bankers.  Do you agree with this view?  Do you think there was more greed on Wall Street in the first five years of this century than during the 1980’s and 1990’s?  Why or why not?


 

 



 

Tutor Answer

(Top Tutor) Studypool Tutor
School: Purdue University
PREMIUM TUTOR

Studypool has helped 1,244,100 students

Review from student
Studypool Student
" Outstanding Job!!!! "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1819 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors