1. THE U.S HOUSING MARKET COLLAPSE: HOW IT TRANSPIRED AND WHO’S TO BLAME Presenter: Gavin Oliphant Discussants: Steven Evans & Frank Black

2. OUTLINE  Thesis Statement  Introduction  Events leading up to the housing market collapsing  Impact on the economy  Government’s role  Whose to blame?  Predictions  Conclusion

3. THESIS STATEMENT  Although there have been several explanations offered as to what caused the housing market to collapse, the exact cause may never be known, rather it may have been caused be a “prefect” combination of things.

4. Introduction The housing market collapse occurred in 2006. Prior to this homeownership was at a high. Subprime lending and Adjustable Rate Mortgages Policies that impacted the housing market collapse The collapse of the housing market was a significant cause of the Great Recession What is ultimately responsible for the housing market collapse

5. IMPACT ON THE ECONOMY  Increase of Foreclosures  High Unemployment Rate  Great Recession?  Low Mortgage Interest Rates

6. POOR LENDING?  Relaxed policies regarding mortgages  Subprime Lending  Adjustable Rate Mortgages  Why was there an increase in these types of mortgages

7. Government Involvement The Great Depression National Housing Act of 1934 Fannie Mae and Freddie Mac Government Sponsored Enterprises Securitization Community Reinvestment Act of 1977

8. PREDICTIONS  Should the U.S. have known that the housing bubble was going to burst?  Who predicted that such a collapse could occur  Was it inevitable?