Short- and Long-Term Impacts of the Great Recession and Related Financial Crisis in Texas and the Rio Grande ValleyIntroductionThe Financial Crisis of 2008 broke out directly due to the collapse of the move in the United States in 2006, which gave rise in October 2007 to subprime mortgages. The effect of the credit emergency began to manifest itself to a large extent as early as 2008, tainting first the American monetary framework, then the global one, thus provoking a deep liquidity crisis and creating, in a roundabout way, other budgetary phenomena, for example. example food crisis, unemployment, various stock collapses and overall, a financial emergency at the local level in the USA and internationally. Many business experts and economists have called this the “Great Recession,” given that it is the longest recession since World War II (Campello, et al., 2010). This article aims to discuss the short- and long-term impacts of the Great Recession and the related financial consequences. Crisis on economic growth, consumer spending, government revenue and spending, business investment and unemployment in Texas and the Rio Grande Valley. Additionally, this paper also discussed the best policy initiatives to increase economic growth in Texas and the Rio Grande Valley. Impact of the Great Recession on Consumer Spending in Texas and the Rio Grande Valley: “The Great Depression changed consumer behavior and attitudes for a generation. » It is too early to say whether the 2008 crisis will leave the same psychological scar, but there is precedent for big change. The price increase in Texas is already very significant, reaching almost 5% over one year for employees, but already 5.4% for employees has lost...... middle of paper ......ysis and Management, 31(1), 160-168. Palley, T.I. (2012). From financial crisis to stagnation: the destruction of shared prosperity and the role of the economy. Cambridge University Press. Petr, P., Sirpal, R. and Hamdan, M. (2012). Emerging role of the treasurer after the crisis. European Journal of Scientific Research, 86(3), 319-339. Rhee, C. and Song, E.Y. (2013). Trade finance and trade collapse during the global financial crisis: Evidence from the Republic of Korea. Taylor, J.B. (2009). The financial crisis and policy responses: an empirical analysis of what went wrong (No. w14631). National Bureau of Economic Research. UNITED STATES. Commission of inquiry into the financial crisis. (2011). Financial Crisis Inquiry Report: Final Report of the National Commission on the Causes of the Financial and Economic Crisis in the United States. Government printing office.