Consumers Were Able to Assume an Increasing Amount of Household

question 72

Multiple Choice

Consumers were able to assume an increasing amount of household debt during the 2000s because:

• A) low interest rates made borrowing easier.
• B) real wages increased dramatically.
• C) interest rates were so high that people found it very easy to save their extra income.
• D) the U.S government made it easier for people to declare bankruptcy.

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Definitions:

Agreement

An agreement is a mutual understanding or arrangement between two or more parties, often legally binding, about their rights and responsibilities regarding a particular deal or situation.

Dollar Strengthened

A condition where the U.S. dollar increases in value compared to other currencies in the global market.

Foreign Currencies

Currencies used in a country other than one's own, involved in foreign exchange trading and international transactions.

British Pound

The official currency of the United Kingdom, also known as GBP.