In 2008 the World Dealt with the Most Dramatic Financial

question 27

Multiple Choice

In 2008 the world dealt with the most dramatic financial crisis since the depression and bank failures of the 1930's.This crisis occurred because of all of the following except:

• A) increased leverage based on increasing property values in the subprime mortgage business.
• B) financial institutions accepted questionable credit instruments.
• C) there was a lack of effective oversight by the regulatory bodies.
• D) an increase in global interest rates.