The deregulation of financial institutions and lax oversight by government regulatory agencies and private debt rating agencies contributed to the severity of the 2007-2009 financial crisis.

Question

Quizplus · Accepted Answer

The deregulation of financial institutions, which allowed them to take on excessive risk and engage in high-risk activities, coupled with inadequate oversight by both government regulatory agencies and private debt rating agencies, played a significant role in the severity of the 2007-2009 financial crisis.

The Deregulation of Financial Institutions and Lax Oversight by Government