Great Recession/Timelines: Difference between revisions
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imported>Nick Gardner |
imported>Nick Gardner |
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US housing boom and bust | US housing boom and bust | ||
: The average house price rises by 80% [http://www2.standardandpoors.com/spf/pdf/index/CSHomePrice_History_102626.xls] between 2001 and 2006 and then falls by 8% from its 2006 peak to mid-2007 . | : The average house price rises by 80% [http://www2.standardandpoors.com/spf/pdf/index/CSHomePrice_History_102626.xls] between 2001 and 2006 and then falls by 8% from its 2006 peak to mid-2007 . | ||
==Crash== | ==Crash== | ||
Revision as of 05:47, 2 February 2011
Prelude (trends: January 2000 to June 2007)
Capital flows:
- Flows of capital into the advanced countries, rising from about 8 per cent of world GDP in 2002 to about 16 per cent in 2007
US Monetary policy
- Progressive discount rate reductions by the Federal Reserve reducing the federal funds rate from 6 per cent in 2000 to 1 per cent in 2003, followed by increases to 5.25 per cent in 2006)[1].
US housing boom and bust
- The average house price rises by 80% [2] between 2001 and 2006 and then falls by 8% from its 2006 peak to mid-2007 .