The worst economic disaster since the Great Depression. What happened was mortgages (home loans) were being given out to pretty much anyone who requested one. This allowed for the housing market to skyrocket. With so many people buying into mortgages, they seemed like safe investments (this led to even more people buying into the market). This was dangerous because many people could not financially support these loans that they took out, which caused them to default (admit that they can’t pay it and give the house up to the banks that own it). Once this bubble burst, the banks had so many houses they didn’t know what to do with. Banks owned property, but not many people could buy them. As a result, many who invested into these mortgages lost everything. This reverberated through the global economic system, mass panic ensued the stock market making it extremely volatile (dropping hundreds of points and regaining countless more). Eventually, Congress gave a $700,000,000,000 loan to the economy in order to balance this whole mess out.