Which of the Following Will Tend to Occur When a Surplus

question 362

Multiple Choice

Which of the following will tend to occur when a surplus exists in a market?

• A) supply will increase and demand will decrease until the surplus disappears.
• B) supply will decrease and demand will increase until the surplus disappears.
• C) the price will tend to rise over time.
• D) the price will tend to decrease over time.

Understand the ethical and legal considerations in loan approvals and the impact of misrepresentations.

Examine the legal rights and obligations of parties in a mortgage assignment and the implications for borrowers.

Analyze legal and practical aspects of repossession, including options available to creditors.

Evaluate the legal principles and consequences of mortgage foreclosure, including defenses against foreclosure and remaining liabilities after foreclosure.

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Definitions:

Reconstruction Finance Corporation

A government agency established in 1932 in the United States to provide financial support to banks, industries, and other institutions to stimulate economic recovery.

Struggling Banks

Financial institutions experiencing significant challenges such as liquidity issues, insolvency, or failure to meet regulatory requirements.

Congress 1932

Refers to the 72nd United States Congress, notable for its enactment of significant legislation during the Great Depression under President Franklin D. Roosevelt's New Deal.

Nationalizing Industries

The transfer of private sector enterprises to the ownership and operation of the government with the goal of taking control over critical industries or resources.