Which of the Following Was a Reason for the Decline

question 29

Multiple Choice

Which of the following was a reason for the decline in inflation during the first years of Reagan's presidency?

• A) A decline in the value of the dollar on foreign exchange markets
• B) The Federal Reserve's decision to raise interest rates on bank loans to an unprecedented level
• C) The end of federal health and safety regulations on businesses
• D) A substantial decline in the balance-of-trade deficit

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Definitions:

Largest Bankruptcy

The biggest instance of a legal declaration by an entity that cannot repay its debts to creditors, historically significant due to its impact.

U.S. History

The chronological record of significant events (such as wars, economic developments, and social movements) affecting the United States.

2008

A significant year marked by the global financial crisis, which had profound impacts on economies worldwide.

Short Recession

A brief period of economic decline during which trade and industrial activity are reduced, generally identified by a decline in GDP in successive quarters.