Which of the following is specifically cited as having led to the "dot-com" bubble and crash?
A)market volatility
B)activities in Congress
C)lack of solid business models
D)elevated interest rates
E)high rates of inflation

Question

Quizplus · Accepted Answer

The dot-com bubble and crash was specifically caused by the lack of solid business models of many internet-based companies. Many of these companies were highly valued despite not having any profitable business plan or revenue streams. When it became clear that these companies were not sustainable, the bubble burst and the stock prices crashed. Market volatility, activities in Congress, elevated interest rates, and high rates of inflation may have contributed to the overall economic climate, but they were not the specific cause of the dot-com bubble and crash.

Which of the Following Is Specifically Cited as Having Led