872 Chapter 32 Shocks and Responses: 1992–Present
models on which modern trading was based; unfortu-
nately, few Wall Street executives understood them
either. Macroeconomics, some economists maintained,
had become an elaborate exercise in chaos theory.
By late March 2009 the Dow Jones had fallen
below 6,600, down from 14,000 seventeen months
earlier. Chrysler declared bankruptcy, followed by
General Motors several months later. Huge layoffs
ensued. Unemployment rose steadily, surpassing
10 percent for the first time in several decades.
Obama pumped another $700 billion into the
struggling economy.President-elect Barack Obama, his daughters, and wife, Michelle, celebrate his victory in November, 2008.