In chronological order, the events of the great recession are
as follows:
- The rise in home prices encouraged consumers to buy houses
they cannot afford.
- Housing prices fell dramatically.
- Huge numbers of mortgage borrowers defaulted on their payments.
- Banks lose billions on bad mortgages and other debts, while reduced spending
plunged the country into a recession.
- Bush signed the Troubled Asset Relief Program (TARP).
