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Which of These Was NOT a Response by the Government

Question 18

Multiple Choice

Which of these was NOT a response by the government to mitigate the effects of the financial crisis?


A) It made large loans to the U.S. automobile industry.
B) It lent over $100 billion to Lehman Brothers to keep it from bankruptcy.
C) It engaged in quantitative easing programs to remove risky assets from bank balance sheets.
D) It passed a very large stimulus package to boost aggregate demand.

Correct Answer:

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