Which of the following crises involved the use of "tesobonos"?
A)The 1982 debt crisis
B)The Asian currency crisis in 1997
C)The 2007 global financial crisis
D)The Mexican crisis in 1994

Question

Quizplus · Accepted Answer

The use of "tesobonos" was involved in the Mexican crisis in 1994. Tesobonos were short-term Mexican government bonds denominated in dollars that were used to finance the government's budget deficit. The crisis occurred when investors lost confidence in Mexico's economy and began to sell off their tesobonos, causing their value to plummet and leading to a devaluation of the Mexican peso.

Which of the Following Crises Involved the Use of "Tesobonos