USA HISTORY

Detailed explanation-1: -The Biggest Culprit: The Lenders Most of the blame is on the mortgage originators or the lenders. That’s because they were responsible for creating these problems. After all, the lenders were the ones who advanced loans to people with poor credit and a high risk of default.

Detailed explanation-2: -Everybody involved with the 2007–2008 financial crisis is partly to blame for the Great Recession: the government, for a lack of oversight; consumers, for reckless borrowing; and financial institutions, for predatory lending and unscrupulous bundling and selling of mortgage-‐backed securities.

Detailed explanation-3: -Martin Van Buren, who became president in March 1837, was largely blamed for the panic even though his inauguration had preceded the panic by only five weeks.

Detailed explanation-4: -The 2008 financial crisis began with cheap credit and lax lending standards that fueled a housing bubble. When the bubble burst, the banks were left holding trillions of dollars of worthless investments in subprime mortgages. The Great Recession that followed cost many their jobs, their savings, and their homes.