t’s no accident that the worst economic depression and financial crisis since the Great Depression were caused by deregulation that dismantled many of the protections put in place after the Great Depression. In a report entitled The Cost of the Crisis: $20 Trillion and counting, Better Markets, a nonprofit designed to support financial regulatory reform, tabulated the cost of the crisis on the economy and the American people on the fifth anniversary of the passage of Dodd-Frank regulatory reform legislation.
While the stock market has recovered the ground lost during the financial crisis, the real economy is still stuck in neutral. Millions of Americans are unemployed or underemployed, and hundreds of thousands have lost homes due to foreclosures. According to the report, the costs to the economy caused by the crisis include:
- $800 billion stimulus bill passed by Congress
- $15 billion in completed foreclosures
- $116 billion decrease in small business lending
- $2.8 trillion decrease in value of 401(k) plans and IRAs
- $24 billion decrease in government research and development spending
Read more at Iris.xyz.