ABSTRACT
The recession that began in December 2007 ranks as the worst since World War II. It carved a huge slice out of Americans' financial wealth and caused the biggest percentage decline in employment of the post-war era. Private income began to fall in the fourth quarter of 2007, fell sharply immediately after the worst of the financial crisis in late 2008, and did not stabilize until the summer of 2009. Congress also often provides temporary tax cuts to stimulate consumption and business investment when the economy is weak. It did so again in this recession. The most important protection American workers receive when they are laid off is unemployment insurance. In addition to these traditional actions, the Obama administration and Congress also took a number of more unusual steps to lessen the adverse effects of the recession. Most working Americans who are not poor receive health insurance through an employer or the employer of another wage earner in the family.
