The spread of the financial crisis in the autumn of 2008 was NOT augmented by
A) linkages between global financial markets.
B) the cross listing of firms in different markets.
C) the consolidation of the global financial system.
D) excessive debt of the government.

Question

Quizplus · Accepted Answer

Excessive debt of the government, while a potential long-term concern, did not directly contribute to the spread of the financial crisis in the autumn of 2008. Rather, the crisis was primarily driven by the interconnectivity and consolidation of global financial markets, as well as the cross listing of firms in different markets.

The Spread of the Financial Crisis in the Autumn of 2008