Okay. Here you go by the numbers.
GWB started a prolonged war without raising taxes to pay for it. The cost of the war was a major concern for congress. GWB told congress he expected the war to cost about $60 billion total, an amount easily absorbed by the federal budget.
Due to a number of blunders, the major being disbanding the Iraqi army rather than putting them on the payroll to keep order in Iraq, the Iraqi war has dragged on for years and cost trillions of dollars.
The trillions of dollars of federal deficit spending circulated trillions of dollars that were not earned by the economy. This circulation of worthless dollars flooded the international currency market with dollars, which brought the value of the dollar down. From 2002 to 2005, the dollar lost over 40% of its value on the currency exchange.
The devalued dollar increased the cost of imports, most notably oil.
In reaction to inflationary pressure caused by the federal deficit, the FOMC started raising interest rates to stop inflation. Mortgages rates started to rise.
As a result of increased mortgage rates, buyers started to leave the housing market and home sales started to slow.
Normally this would not have been a problem. BUT, banks had been issuing homes loans to many people who should not have had these loans. These low income people depended on a brisk housing market to sell their house for a profit before their ARMs kicked in and the payments rose beyond their means.
THe high number of foreclosure soon followed which put a great number of foreclosed homes on the market, which started a downward spiral in home values.
The downward spiral of home values put bank balance sheets in jepardy. Banks became unstable and the financial collapse soon followed.
So, GWB failure to control the federal budget and his screwing up in Iraq are responsible the problems we have today.