By the Height of the Housing Bubble in 2005 and Early

question 81

Multiple Choice

By the height of the housing bubble in 2005 and early 2006,lenders had greatly loosened the standards for obtaining a mortgage loan,with many mortgages being granted to ________ borrowers with flawed credit histories and ________ borrowers who did not document their incomes.

• A)sub-prime; "Alt-A"
• B)adjustable rate; shadow-banking
• C)"credit crunch"; black market
• D)"fresh-start"; prime rate

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Definitions:

Socially Desirable Behavior

Actions that are seen as favorable or acceptable by society and are often performed by individuals to be viewed positively by others.

Latent Learning

Learning that occurs without apparent reinforcement and is not demonstrated until the organism is motivated to do so.

Drivers' License

An official document permitting a specific individual to operate one or more types of motorized vehicles on public roads.

Bobo Doll Study

A social learning theory experiment conducted by Albert Bandura, demonstrating that children can learn aggression through observation.