According to the Text, What Could Be Considered One of the Chief

question 38

Multiple Choice

According to the text, what could be considered one of the chief causes of the deregulation of financial markets that contributed to the recession of 2007-2009?

• A) lobbying by American financial institutions
• B) government overspending and debt
• C) a lack of spending and too much belt-tightening
• D) the inability of Congress to reduce financial regulations

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Definitions:

Expected Rate of Return

The anticipated amount of profit or loss that an investment may generate, based on historical data or statistical analysis.

Booming Economy

An economic state characterized by significant growth, increased employment, and rising consumer confidence and spending.

Recessionary Economy

An economy experiencing a significant decline in activity across the economy, lasting longer than a few months, typically visible in real GDP, real income, employment, industrial production, and wholesale-retail sales.

Stock

A form of investment that indicates one has a stake in a company and entails a portion of the company's assets and profits.