2-43 The primary reason for the decline of the S&L industry was the passage of legislation that gave commercial lending powers to the S&L industry.

Question

Quizplus · Accepted Answer

The primary reason for the decline of the S&L industry was not the passage of legislation that gave commercial lending powers to the S&L industry. It was the combination of factors such as bad loans, risky investments, and high interest rates that led to the collapse of the industry in the 1980s and early 1990s. The legislation that allowed S&Ls to engage in commercial lending was actually an attempt to rescue the industry, but it did not succeed in preventing its downfall.

2-43 the Primary Reason for the Decline of the S&L