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The Asset Bubble in Commercial Real Estate That Caused the Savings

Question 25

Multiple Choice

The asset bubble in commercial real estate that caused the savings and loan crisis in the 1980s burst because:


A) real estate developers built too much office space.
B) construction costs were too high.
C) the interest rates on construction loans were unprofitably low for banks.
D) the government established rent controls on newly constructed office buildings.

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