Programs Passed by the Federal Government in Response to the Financial

question 88

Multiple Choice

Programs passed by the federal government in response to the financial crisis of 2007-2009 include all of the following except:

• A)Economic Stabilization Act
• B)Troubled Asset Relief Program
• C)American Recovery and Reinvestment Act
• D)only a and b were passed
• E)a, b, and c were all passed

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Definitions:

Capital Losses

Capital losses occur when the sale of a capital asset, such as stocks or real estate, results in a loss, which can offset capital gains for tax purposes.

Carry Forward

A tax policy that allows individuals or companies to use a current year's tax losses to offset future taxable income.

Section 1231

A section of the U.S. tax code that allows for the favorable tax treatment of gains and losses on the sale or exchange of business property.

Aggregate

is the total amount or sum of individual parts combined.