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Recall Application 4, "Coping with the Financial Chaos Caused by the Mortgage

Question 3

Multiple Choice

Recall Application 4, "Coping with the Financial Chaos Caused by the Mortgage Crisis," to answer the following
questions:
-According to Application 4, which insurance company did the Fed take an 80 percent stake in and made an $85 billion loan to?


A) Bank of America
B) Bear Stearns
C) Geico
D) AIG

Correct Answer:

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