What Is a Credit Boom

question 35

Multiple Choice

What is a credit boom?

• A)an explosion in a credit cycle, which can increase or decrease lending in the short-run
• B)essentially a lending spree on the part of banks and other financial institutions
• C)when credit card receivables rise due to low initial interest rates
• D)the signal of the end of a credit spree, with credit contracting rapidly

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Definitions:

Alarm Stage

The initial phase of the stress response where the body reacts to a perceived threat by preparing for fight or flight.

Bad Stress

Negative psychological or physical response to perceived pressures or threats, often affecting health and well-being.

Alarm Stage

The initial phase of the body's response to stress, activating the "fight or flight" mechanism.

Thinking Evaluation

The process of analyzing and making judgments about thoughts or ideas.