Impact of the Great Recession in Texas and the Rio Grande Valley

Short-Term and Long-Term Impacts of the Great Recession and Related Financial Crisis

in Texas and the Rio Grande Valley

Introduction

The 2008 financial crisis erupted straightforwardly because of the breakdown of the lodging

move in the United States in 2006, which brought about give or take October 2007 called sub-

prime mortgages. The effect of the credit emergency started to show a to a great degree genuine

since right on time 2008, first tainting the U.s. monetary framework, and after that worldwide,

having thus a profound liquidity crisis and creating, in a roundabout way, other budgetary

phenomena, for example food crisis, unemployment, different stock crumples and on the whole,

a financial emergency locally in USA and internationally. Numerous business experts and

economists have called this the "Great Recession" given it the longest subsidence since Second

World War (Campello, et al., 2010).

This paper aims to discuss the Short-Term and Long-Term Impacts of the Great Recession and

Related Financial Crisis on Economic Growth, consumer spending, government revenues and

spending, business investment and Unemployment in Texas and the Rio Grande Valley, besides

this paper has also discussed Best Policy Initiatives to increase economic growth in Texas and

the Rio Grande Valley.

Impact of Great Recession on consumer spending in Texas and the Rio Grande Valley

"The Great Depression changed consumer behaviour and attitudes for a generation.”It's early to

tell whether the 2008 crisis will leave the same psychological scar, but there is a precedent for a

big change." The price increase in Texas is already very sensitive, reaching nearly 5 % year on

year for the, but already 5.4% for employees has los...

... middle of paper ...

...ysis and Management, 31(1), 160-168.

Palley, T. I. (2012). From financial crisis to stagnation: the destruction of shared prosperity and

the role of economics. Cambridge University Press.

Petr, P., Sirpal, R., & Hamdan, M. (2012). Post-Crisis Emerging Role of the Treasurer. European

Journal of Scientific Research, 86(3), 319-339.

Rhee, C., & Song, E. Y. (2013). Trade Finance and Trade Collapse during the Global Financial

Crisis: Evidence from the Republic of Korea.

Taylor, J. B. (2009). The financial crisis and the policy responses: An empirical analysis of what

went wrong (No. w14631). National Bureau of Economic Research.

United States. Financial Crisis Inquiry Commission. (2011). Financial crisis inquiry report: final

report of the national commission on the causes of the financial and economic crisis in

the United States. Government Printing Office.