The American economy had been in a slow recovery since it had dipped in 2002. However, in 2008, the Great Recession hit causing the biggest economic collapse in the Great Depression. What caused the Great Recession of 2008? a)The 2001 drop caused wage stagnation which resulted in less spending by consumers and finally the recession. b) Jobs were being outsourced to foreign markets and the resulting unemployment led to reduced spending. c)Banks had become less regulated over several years and therefore began taking bigger financial risks. d) Major financial companies collapsed after it was discovered they were engaging in accounting fraud