Final answer:
The Great Recession occurred in 2007-2008, resulting in significant job losses, a drop in spending, and financial system challenges. Unemployment peaked at 10.1%, and household spending dropped by 7.8%, with long-term effects on the economy.
Step-by-step explanation:
The Great Recession that hit the global markets took place in 2007-2008. This economic downturn had a significant impact on the U.S. economy, with the number of unemployed Americans rising sharply from 6.8 million in May 2007 to 15.4 million by October 2009. The recession was characterized by a collapse in financial assets, a sharp increase in unemployment, and a severe drop in consumer spending and household consumption. Government interventions and bailouts during this period were substantial and often contentious as many people resented the rescuing of banks and investment firms with taxpayer money.
The U.S. Bureau of Labor Statistics (BLS) reported that household spending dropped by 7.8% during the recession. At its worst, the unemployment rate in the United States peaked at 10.1%, with the recession officially lasting from December 2007 until June 2009. Even four years after the recession ended, the economy was still struggling to recover, with high unemployment rates and many Americans out of work.