Impact of the 2008 financial crisis

The 2008 financial crisis was a severe economic downturn caused by the collapse of the housing market and risky lending practices. Many people lost their homes, and financial institutions faced huge losses, leading to a credit freeze that affected borrowing and spending worldwide. This resulted in widespread job losses, reduced savings, and economic stagnation. Governments and central banks intervened with bailouts and policies to stabilize the economy, but the crisis highlighted vulnerabilities in financial systems and led to ongoing reforms to prevent future collapses.