Which of the Following Could Lead to a Credit Crunch

question 85

Multiple Choice

Which of the following could lead to a credit crunch in an economy?

• A) Banks' unwillingness to lend to other banks.
• B) An increase in trading in assets like gold and government bonds.
• C) Increased debt funding by the government.
• D) A balance of payments surplus.

---

Definitions:

Legal Requirements

These are stipulated conditions or standards that actions, procedures, or products must adhere to as defined by laws or regulations.

Franchisor's Termination

The legal cessation of a franchise agreement by the franchisor, potentially due to contractual breaches or other reasons.

Franchise Litigation

Legal disputes related to the rights, obligations, and agreements between franchisors and franchisees.

Wrongful Termination

The unfair or illegal firing of an employee in violation of contractual or statutory requirements.