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

---

Definitions:

Law Merchant

The customs or rules established by merchants to resolve disputes that arose between them, and that were later applied by Common Law judges in cases that came before their courts.

Commercial Matters

Issues or affairs related to commerce, trade, and business activities.

Legislation

Laws or statutes that have been enacted by a governing body to regulate, authorize, sanction, grant, declare, or restrict various actions.

Royal Assent

The formal approval by a monarch to a bill that has passed both houses of parliament, turning it into law.