After the 2008 financial crisis, proponents of fiscal austerity argued that the primary problem for the United States and Europe was:
A)high levels of government deficits and debt that eroded investor confidence.
B)powerful labor unions that kept wages too high.
C)unemployment.
D)inflation.

Question

Quizplus · Accepted Answer

Proponents of fiscal austerity believed that high levels of government deficits and debt were the primary problem after the 2008 financial crisis. They argued that this eroded investor confidence and made it harder for governments to borrow money, leading to further economic instability.

After the 2008 Financial Crisis, Proponents of Fiscal Austerity Argued