Which of These Was NOT a Cause of the 2007-2009

question 251

Multiple Choice

Which of these was NOT a cause of the 2007-2009 financial crisis?

• A) Low interest rates encouraged a housing bubble.
• B) Banks and other lenders lowered their quality standards for mortgage loans.
• C) Congress enacted restrictive trade policies that failed to curb imports.
• D) Investors and financial institutions bought assets that required an unsustainable rise in housing prices.

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Definitions:

Labor Force

The total number of people employed and unemployed but looking for work within an economy.

Employed Category

A classification within labor market statistics representing individuals who are currently employed and working.

PID Control

A control loop mechanism employing proportional, integral, and derivative terms to control a process, widely used in industrial control systems.

Inexpensive

Referring to a product, service, or item that has a low cost or price, making it affordable to a wide range of consumers.