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Effects of Historical Economic Crises Quiz

#1

Which economic crisis is often referred to as the Great Depression?

The Stock Market Crash of 1929
Explanation

Originated from the stock market crash in 1929, leading to a severe global economic downturn.

#2

Which economic crisis originated from the bursting of the housing bubble?

The Financial Crisis of 2007-2008
Explanation

Begun with the collapse of the housing market bubble, leading to widespread financial instability and recession.

#3

Which economic crisis was triggered by the collapse of the Bretton Woods system?

The Oil Crisis of the 1970s
Explanation

The breakdown of the Bretton Woods system in 1971 led to economic turmoil, contributing to the oil crisis in the 1970s.

#4

Which economic crisis was caused by the collapse of the tulip bulb market?

The Dutch Tulip Mania
Explanation

An early speculative bubble in the Netherlands in the 17th century, driven by tulip bulb prices reaching extraordinary levels before collapsing.

#5

Which economic crisis was triggered by the collapse of the dot-com bubble?

The Dot-com Bubble Burst
Explanation

The bursting of the dot-com bubble in the early 2000s led to a significant decline in technology stocks and investments.

#6

During which economic crisis did the term 'stagflation' gain prominence?

The Oil Crisis of the 1970s
Explanation

High inflation combined with stagnant economic growth, notably during the 1973 oil crisis.

#7

Which country experienced the 'Lost Decade' in the 1990s due to its economic crisis?

Japan
Explanation

Japan's prolonged economic stagnation during the 1990s, characterized by asset price deflation and low growth.

#8

Which economic crisis was sparked by the collapse of Lehman Brothers?

The Great Recession
Explanation

Global financial crisis triggered by the collapse of Lehman Brothers in 2008, leading to severe economic downturns.

#9

Which economic crisis was characterized by the collapse of the South Sea Company?

The South Sea Bubble
Explanation

The South Sea Company's collapse in 1720, leading to one of the earliest recorded financial bubbles and subsequent crash.

#10

During which economic crisis did the term 'quantitative easing' become widely used?

The Financial Crisis of 2007-2008
Explanation

Introduced as a monetary policy response to the 2008 financial crisis, aimed at boosting liquidity and economic activity.

#11

Which economic crisis led to the adoption of the Glass-Steagall Act in the United States?

The Great Depression
Explanation

The Glass-Steagall Act was a response to the banking crisis during the Great Depression, aiming to prevent future financial collapses.

#12

Which economic crisis led to the collapse of the Barings Bank in 1995?

The Asian Financial Crisis
Explanation

Financial crisis affecting East Asian economies, including Thailand, Indonesia, South Korea, and triggering the collapse of Barings Bank due to risky derivative trading.

#13

Which economic crisis led to the creation of the Troubled Asset Relief Program (TARP) in the United States?

The Financial Crisis of 2007-2008
Explanation

Initiated to stabilize the financial system during the 2008 crisis, providing funds to banks and other financial institutions.

#14

Which economic crisis led to the implementation of New Deal policies in the United States?

The Great Depression
Explanation

FDR's New Deal programs were a response to the economic devastation of the Great Depression, aiming to stimulate recovery and reform.

#15

Which economic crisis led to the establishment of the International Monetary Fund (IMF)?

The Great Depression
Explanation

The IMF was created in 1944 during the Bretton Woods Conference, largely in response to the economic turmoil of the Great Depression.

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