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The "Perfect Financial Storm" That Developed in 2008, Which Put

Question 80

Multiple Choice

The "perfect financial storm" that developed in 2008, which put the U.S. economy was on the verge of collapse was characterized by which of the following?


A) The housing price "bubble" burst in 2006 and began a sharp decline.
B) Stock market prices began a sharp increase.
C) Many of the mortgage-related debt securities originated and sold to others, or held, by banks became easy to value during the perfect financial storm.
D) Individuals and businesses were defaulting on loans and home mortgages in increasing numbers due to increasing home prices.

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