Which of the Following Accurately Describes the Relationship Between Mortgage

question 10

Multiple Choice

Which of the following accurately describes the relationship between mortgage default rates and the 2008 recession?

• A) The recession of 2008 triggered the initial increase in the mortgage default rate.
• B) The rise in the mortgage default rate preceded the recession and it was a major cause of the 2008 economic downturn.
• C) Both the increase in the mortgage default rate and the economic recession were the result of the stock market crash of 2008.
• D) The rise in the mortgage default rate and the economic recession were separate issues and there was no relationship between the two.

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