Economic Crisis: Effects on the Economy

Topics: Unemployment, United States, Recession Pages: 4 (1486 words) Published: August 26, 2010
Running Head: ECONOMIC CRISIS: EFFECTS ON THE ECONOMY 2 Abstract

The United States is obviously in a state of economic despair. This essay has supporting facts that prove the economy is definitely not on the mend. The public has been led to believe that this downward spiral is almost over. What will be proven in this paper is that foreclosure rates are still dramatically increasing and that the total in unemployment rates is deceiving. Without more jobs, consumers won’t see the gains in income needed to encourage them to spend more. The only thing that does seem to be on the rise is the amount of people seeking help for psychological distress which comes from losing their jobs. It is time for America to quit thinking about solutions to the economic crisis and start doing something about it.

Running Head: ECONOMIC CRISIS: EFFECTS ON THE ECONOMY 3 Economic Crisis: Effects on Society
We are in an economic crisis. These are words that all Americans have become increasingly familiar with these days. Some would say that our economy is on the mend. However, the facts tell a different story. Foreclosure rates are still dramatically increasing due to the number of unemployed individuals who remain displaced. Obviously consumers are spending their money more rationally; and, furthermore, the psychological state of these individuals affected is disheartening. It is time for America to quit thinking about solutions to the economic crisis and start doing something about it. The growing concern of foreclosure is on everyone’s mind and the signs are not encouraging. According to Rick Sharga, Senior Vice President of RealtyTrak Inc., “The United States economy is currently not looking very good. The biggest problems are in the real estate and mortgage markets” (p.1). It is not a good sign for the economy when foreclosures are still dramatically increasing in 2010. American homeowners thought that the worst...

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Crawley, M. (2010) The good and bad economy. Times, 176 (4) Retrieved from
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Healy, J (2010, August 6) Consumers are saving more, spending less. Times, 169 (6).
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Isidore, C. (2010). July jobs report: Economy still losing jobs,p.1. Retrieved from
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Sharga, R. & Wong, V. (2010, July31).Foreclosures continue to increase dramatically in 2010.
Spiegel, A. (2010). Unemployment takes emotional toll.p.1. Retrieved from
http://www.npr.org/templates/story/story.php?story
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