Statement I: The savings and loan debacle has cost the U.S.taxpayers hundreds of billions of dollars.
Statement II: One of the main causes of the savings and loan debacle was federal deregulation of that industry.

Question

Quizplus · Accepted Answer

Both statements are true. The savings and loan debacle, which refers to the collapse of many savings and loan associations in the 1980s and early 1990s, did indeed cost the US taxpayers hundreds of billions of dollars. This was due to the government having to cover the losses incurred by failed savings and loan institutions. One of the main causes of the debacle was federal deregulation of the industry that allowed many savings and loan institutions to engage in risky lending practices, leading to their eventual collapse.

Statement I: the Savings and Loan Debacle Has Cost the U.S.taxpayers