The Economic Crisis That Began in 2007 Caused Which of the Following

question 26

Multiple Choice

The economic crisis that began in 2007 caused which of the following?

• A) The paralysis of credit markets
• B) Severe inflation
• C) A record increase in interest rates on home mortgages
• D) The collapse of the Federal Deposit Insurance Corporation

---

Definitions:

Employee Leasing

A practice where businesses hire their workers through a third-party, transferring the administrative responsibility of employees, such as payroll and benefits, to the leasing firm.

Outsourcing

The practice of hiring external companies or individuals to perform tasks, handle operations or provide services that are either difficult to manage or are outside the business's core competencies.

Offshoring

The practice of relocating business processes or services to another country, often to take advantage of lower labor costs or favorable regulatory environments.

Cost Reduction

Strategies or measures implemented to lower expenses and improve efficiency within an organization or project.