As a Result of the Global Financial Crisis in 2008,_____

question 29

Multiple Choice

As a result of the global financial crisis in 2008,_____.

• A)U.S.interest rates fell and the cost of servicing U.S.debt decreased
• B)U.S.citizens increased their purchase of foreign securities
• C)U.S.chronic deficits increased and debt service costs overwhelmed the budget
• D)debt issued by U.S.government entities was judged to be the safest in the world
• E)there was downgrading of the nation's credit risk by the chief credit-rating agency in 2011

---

Definitions:

Nash Equilibrium

A concept in game theory where no participant can gain by unilaterally changing strategies if the strategies of the others remain unchanged.

Monopoly Output

The quantity of goods or services produced by a monopoly, which is determined at the point where the monopoly's marginal cost meets the market demand curve.

Duopolist

One of two firms in a market where only two firms offer a particular product or service, leading to a specific form of competition.

Cartel Agreement

An arrangement among competing firms to control prices or exclude entry of a new competitor in the market, often through setting production levels or dividing markets.