Why was the 2008 Crisis a global recession?

The great recession was a period starting from December 2007 and ending on June 2009. It began as a result of an 8 trillion dollars housing bubble. Due to a rapid loss of wealth, there was a very rapid cutback in the consumer expenditure. The lack of consumption along with the chaos in the financial market led to a rapid decrease in business investments.

It is referred to as global recession because it affected a range of different countries and regions throughout the globe including Europe, Russia, United States of America, and Asia. The European countries however, were the most affected by this recession along with the U.S.