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Bailouts begin
The Federal Reserve bails out some of the nations largest investment firms, including Bear Stearns and AIG, except they let Lehman Brothers fail. President Bush, with the help of Congress passed TARP to protect assets. (Budget) -
China Becomes Largest U.S. Foreign Creditor - Trade
China surpasses Japan to become the largest holder of U.S. debt--or treasuries--at around $600 billion. -
Barack Obama Elected- Leadership
Change in leadership with Barack Obama elected as President -
Obama passes ARRA
Provides tax cuts and federal funds in order to create new jobs.
Budget. -
Prevention of Risky Business
Under Obama, Congress passes the Financial Regulations Bill, which its main goal was to prevent failures in businesses in order to bypass an economic collapse, which would cause millions of Americans their savings and their jobs. (Leadership) -
U.S defaults
The U.S. defaults on it's national debt in congress before finally raising the national debt ceiling. Budget -
Budget sequestration
The sequester lowers spending by a total of approximately $1.1 trillion versus pre-sequester levels over the approximately 8-year period from 2013 to 2021.
