The Troubled Asset Relief Program Was Originally Designed to ________

question 71

Multiple Choice

The Troubled Asset Relief Program was originally designed to ________, but funds were ultimately used ________.

• A) purchase and insure assets held by financial institutions; to purchase equity from financial institutions and bail out U.S. automakers
• B) nationalize banks; for unemployment insurance and financing the wars in Iraq and Afghanistan
• C) bail out banks; for purchases of "toxic assets"
• D) bolster bank stock prices; to pay bank executive bonuses
• E) prevent takeovers of U.S. banks by foreign nationals; to insure assets held by member banks

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Definitions:

Unconditioned Stimulus

An innate trigger that spontaneously and effortlessly evokes a reaction without the need for previous learning.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, comes to trigger a conditioned response.

Conditioned Stimulus

A formerly neutral signal that, after consistent association with an unconditioned stimulus, triggers a learned response.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally and automatically triggers a response without prior conditioning.