The U.S. Economy at the Turn of the Century

This case explains the evolution of the U.S. economy from the late 1970s, when the speculative bubble was just starting to grow. This bubble led to sharp increases in stock market prices and a generalized financial euphoria. The facts are given to enable analysis of the causes and effects of this bubble, and also the events that led it to burst, plunging the economy into the 2001 recession. The case includes information about the following years, in order to allow an analysis of the effects of these previous developments on the possibilities for recovery of the U.S. economy in the short term at the beginning of 2003.

Collection: IESE (España)
Ref: ASE-412-E
Format: PDF
Number of pages: 24
Publication Date: May 11, 2006
Language: English, Spanish

Description

This case explains the evolution of the U.S. economy from the late 1970s, when the speculative bubble was just starting to grow. This bubble led to sharp increases in stock market prices and a generalized financial euphoria. The facts are given to enable analysis of the causes and effects of this bubble, and also the events that led it to burst, plunging the economy into the 2001 recession. The case includes information about the following years, in order to allow an analysis of the effects of these previous developments on the possibilities for recovery of the U.S. economy in the short term at the beginning of 2003.
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Year: 1997-2003
Geographic Setting: Estados Unidos

Learning Objective

Analysis of a business cycle, causes of a speculative bubble and effects of economic policies.

The U.S. Economy at the Turn of the Century

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"The U.S. Economy at the Turn of the Century"