According to the Application, the Reason Why the Problem Caused

question 83

Multiple Choice

According to the application, the reason why the problem caused by subprime loans came to light was because:

• A) the housing boom ended.
• B) the economy was in a recession and the Fed lowered the interest rates further.
• C) the Federal Reserve put an end to it.
• D) investors realized the risks before it was too late.

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Definitions:

Safety Inspections

The examination of facilities, equipment, or processes to ensure they comply with safety standards and regulations, aiming to prevent accidents and injuries.

Health Inspectors

Officials responsible for ensuring compliance with public health regulations and standards, especially in food establishments, housing, and workplaces.

Closed Shop

A labor arrangement whereby all employees must be members of a specific union before being hired, typically agreed upon through union and employer negotiations.

Taft-Hartley Act

A United States federal law that restricts the activities and power of labor unions.