The 1980s
The Duration: July 1981 to November 1982
The Cause: Inflation resulting from the oil crises of 1973 and 1979 continued to increase despite the stabilization of oil price and supply. Unemployment in the early ’80s escalated dramatically to over 10 percent, as many industries, including the manufacturing, automobile and real-estate sectors, were affected by the stagnant economy. In addition, in 1980, banks received increased lending power, leading several to invest in real-estate loans immediately before the recession began, causing widespread bank failures as many citizens defaulted on their mortgages.
Kyle A. Richardson is the editorial director of Promo Marketing. He joined the company in 2006 brings more than a decade of publishing, marketing and media experience to the magazine. If you see him, buy him a drink.