According to Oatley,Bretton Woods II Arguably Played a Key Role

question 34

Multiple Choice

According to Oatley,Bretton Woods II arguably played a key role in the development of the global financial crisis of 2008-2009 because

• A) the demand for US government debt instruments drove up interest rates.
• B) high interest rates burst the real estate bubbles in US and Europe.
• C) the demand for US government debt instruments drove down interest rates.
• D) low interest rates drove down the values of commercial real estate in US and Europe.
• E) it undermined the Asian savings glut and US economic sovereignty.

---

Definitions:

IRS

Internal Revenue Service, the U.S. government agency responsible for tax collection and enforcement of tax laws.

Internal Revenue Code

The collection of laws governing federal taxation in the United States, defining tax rates, deductions, credits, and procedures.

Legislative Regulations

Laws and rules enacted by a legislative body to govern behavior and procedures.

Temporary Regulations

Regulations issued by the IRS or other government agencies that are intended to be in effect for a limited period of time, often used to clarify or interpret tax laws.