In the Mid 1980s, Two Developments of Note Occurred

question 15

Multiple Choice

In the mid 1980s, two developments of note occurred. The first was the need for the Fed, which it publicly acknowledged, to become concerned with the level and stability of the U.S. dollar's foreign currency exchange rate. What was the second development?

• A) It was the shocking fall in equity prices around the world in October 1987.
• B) It was the shocking increase in equity prices around the world after the fall in prices in October 1987.
• C) It was the realization that nothing could be done to curb the instability in the financial markets.
• D) It was the realization that nothing could be done to provide necessary liquidity.

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Definitions:

Psychological Reasons

Underlying mental or emotional factors that influence an individual's decisions or behaviors.

Economic Wants

Desires for specific goods, services, or experiences that can be fulfilled through economic transactions.

Benefits

The advantages or positive outcomes that result from using a product or service.

Ultra Black Label Series

A term that could refer to a premium, high-end series of products within a brand, often denoting exclusivity or superior quality.