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Published on: Ev

2008 – 2009

Global Financial Crisis. The financial crisis wipes out a total of $17 trillion. The crisis was triggered by subprime mortgages likely at risk of default, which caused a loss of confidence and a contraction in the housing market, with a positive downward feedback loop. The prospect of the collapse of the entire financial system led the U.S. government to bail out the major banks, leaving only Lehman Brothers to fail.