FINRA Investor Education Foundation | September 2013
Summary: The economic crisis that began in 2007 started a wide-ranging spiral that not only weakened the U.S. economy but also eroded the financial stability of households—exposing the fragility of American families. Stock values dropped, real estate prices plummeted, household wealth shrank, unemployment rates shot up, and the tenuous positions of an alarming percentage of U.S. households became all too apparent. Even after the peak of the crisis, the recovery was very slow. This Brief describes how American families are positioned to confront economic shocks and the resources they may—or may not—have available to help them weather such crises.