# Existing metrics for amounts of leverage used in financial sector

My current understanding is that excessive leverage caused the Great Recession.

Are there existing metrics for measuring the levels of leverage currently used in the US financial sector (lending, investing, bonds, etc.)?

• The question title specifies “financial sector” while the body of the question says “US economy.” That implies two possible lists. It would help to make the two consistent, particularly as the title is much narrower focus. – Brian Romanchuk Oct 10 '18 at 22:23
• @BrianRomanchuk Fixed – aidan.plenert.macdonald Oct 10 '18 at 22:29

• To make sure I am understanding how to read this data, From S.6.a Financial Business (1), I see "Domestic financial sectors; total liabilities" at \$2.5T, which I take to mean things the financial sector owes to someone, and I also see "Domestic financial sectors; total financial assets" at \$2.8T, which I imagine is things they own. So does that imply a 2.5/(2.5 + 2.8) = 47% leverage ratio? – aidan.plenert.macdonald Oct 10 '18 at 23:37