Which of the Following Were Precursors to the 2008-2009 Financial

question 9

Multiple Choice

Which of the following were precursors to the 2008-2009 financial crisis?

• A) Excessive financial pessimism
• B) Economic globalization
• C) American isolationism
• D) Dramatic reduction in U.S. government debt

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Definitions:

Fiscal 2009

Refers to the government's financial year 2009, which varies by country but typically encompasses a 12-month period used for accounting and budget purposes.

Laissez-faire

An economic philosophy advocating minimal government intervention in the market and the economy, allowing businesses to operate with few regulatory constraints.

High Unemployment

This term refers to a situation where a significantly larger portion of the workforce is without jobs, indicating economic distress or a recession.

Monetarists

Economists who assert that the dynamism in the money supply significantly shapes short-term national economic performance and price levels over the long haul.