Since late 2008, we have attempted to explain how different the Great Recession was from every other recession of our
lifetimes. The Coronavirus shock we are currently living through unfortunately helps tell this story.
In the run up to 2008, US consumers massively overspent on homes and in general had entirely too much debt. Banks
and non-bank lending institutions loaned out entirely too much money relative to the reserves they had on hand. The US
economy was on very shaky ground.