The Bailout Program for the Failed S & Ls, Initiated

question 69

Multiple Choice

The bailout program for the failed S & Ls, initiated in the early 1990s, resulted in which of the following?

• A) The recovery of most of the lost money
• B) The inability of the government to unload any of the failed S & L's assets
• C) New opportunities for suspect profiting by developers, speculators and investors
• D) The restoration of the failed thrifts to a uniformly profitable status

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Definitions:

Taxes

Compulsory financial charges or some other type of levy imposed upon a taxpayer by a governmental organization.

Positive Externality

A benefit that affects a party who did not choose to incur that benefit, often leading to underproduction of the good or service in absence of intervention.

Education

The systematic process of facilitating learning, acquiring knowledge, skills, values, and attitudes.

Positive Externality

A benefit that affects a party who did not choose to incur that benefit, typically not reflected in the market price, like vaccination.