Which of the Following Did Not Contribute to the Failing

question 38

Multiple Choice

Which of the following did not contribute to the failing of Freddie Mac and Freddie Mae?

• A)Problems with adverse selection.
• B)Problems with moral hazard.
• C)Weak regulatory oversight.
• D)Unethical accounting practices.

Understand the psychological mechanisms behind perceptual distortions and their practical implications.

Identify and explain the components and applications of social learning theory and observational learning.

Recognize and distinguish the stages of perception and the likelihood of projection occurrence.

Comprehend the concept of self-efficacy and its significance in personal and organizational behavior.

---

Definitions:

Rent

The payment made by a tenant to a landlord for the use of a property or space.

Substitution Effect

The economic principle that as prices rise or income decreases, consumers will replace more expensive items with less costly alternatives.

Output Effect

The Output Effect describes how changes in price levels affect the quantity of goods and services produced in an economy, influencing overall economic output.

Substitute Resources

Alternative means or materials that can be used to achieve the same function or production goal in the absence of preferred resources.