What started the problem?

Why did the 2008 economy crash happen?

well, one of the main reasons was risk.From 1997 until 2006, people bought expensive houses,even though they did not have enough money for them.since the money came from other countries,it was easy to get good credit.people used this money for big loans,causing the of houses to rise.This created an economic bubble.Because they had a lot of money,the loaning companies made it easier to get a loan, even if the person getting the loan didnt have a good credit history.During this time, many home owners asked to refinance their homes.

Comments (1)

  • Olivia-Avatar.jpg Olivia @ the BNC
    19 Nov 2018

    Please make sure all posts are written in your own words and that you include the link to where you did your research. Thanks!

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