In response to the financial crisis of 2008, the federal government passed a ________ bailout bill.

A. $450 million
B. $36 billion
C. $700 billion
D. $3 trillion


Answer: C

Economics

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Loss aversion refers to the idea that:

A) people generally tend to avoid risky activities. B) people are more prone to making losses than gains in day-to-day transactions. C) people psychologically weight a loss more heavily than they psychologically weight a gain. D) people are unwilling to undertake expenditures that reduce the probability of future losses.

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What is comparative advantage? What is absolute advantage?

What will be an ideal response?

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A government budget surplus from reduced government spending (no change in net taxes) will ________ the level of investment in the economy and ________ the level of saving (private plus public) in the economy

A) increase; decrease B) increase; increase C) decrease; decrease D) decrease; increase

Economics

A lender of last resort

A) makes loans when no one else will. B) makes loans without regard for risk. C) is a firm that is forced to make loans for its own survival. D) Both A and B. E) None of the above.

Economics