Questionable business practices such as those followed by many mortgage-lending companies in the recent past:
A) encouraged investors to increase their stock market holdings.
B) fundamentally weakened the entire economic environment.
C) helped retired employees at the expense of current employees.
D) resulted from too much government regulation.

Question

Quizplus · Accepted Answer

Questionable business practices, particularly in the mortgage-lending industry leading up to the 2008 financial crisis, contributed to a weakening of the entire economic environment. These practices included predatory lending, subprime loans, and other risky financial activities that ultimately led to widespread foreclosures, bank failures, and job losses.

Questionable Business Practices Such as Those Followed by Many Mortgage-Lending