2. What is a sub-prime mortgage? Why were sub-prime mortgages less of an issue in Canada than in the United States? Answer 2. A subprime mortgage is a type of loan given to those people who have poor credit score even less than 600. There is large amount of risk associated with subprime mortgage. 3. Define the term GDP (Gross Domestic Product). In what way is personal spending related to GDP? When does the increased pressure to spend become problematic? 4. Define the term foreclosure? In your own words, explain the chain of events that led to the US (and world- wide) economic crisis of 2008/2009 5. Explain the difference between a recession and a depression. Give an example of each 6. What has changed as a result of lessons learned from the economic problems of 2008/2009? Armed with an understanding of the cause of the economic problems, what lesson should you take away? 7. What is a credit rating? Why is it important? How can you find out your credit rating? How can you improve your credit score? 8. Explain the term debt drag