B. The US economy was in the middle of a severe downturn.
The 2008 US presidential election was significantly impacted by the financial crisis that began in 2007 and reached its peak in 2008. The economic downturn led to widespread unemployment, foreclosures, and a loss of savings, which influenced voter sentiment and priorities during the election. Barack Obama's campaign capitalized on these economic concerns, ultimately contributing to his victory over John McCain.