A Credit Crunch

question 50

Multiple Choice

A credit crunch

• A)is an increase by consumers in the default rate on loans.
• B)is a decline in either the ability or the willingness of banks to lend at any particular interest rate.
• C)is a reduction in the money supply by the Fed.
• D)is an increase in the discount rate by the Fed.

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Definitions:

Autobiographical Memory

The memory system consisting of episodes recollected from an individual's life, based on a combination of episodic (personal experiences) and semantic (general knowledge and facts) memory.

Recognition Memory

A form of memory that involves the ability to recognize previously encountered events, objects, or people.

Awareness Of Thinking

The understanding or recognition of one's own thought processes, often referred to as metacognition.

False Beliefs

Incorrect assumptions or misunderstandings about the reality of a situation, often the result of incomplete or incorrect information.