Question

Now, we all know the result: the bursting of a debt-based bubble; the failure of several of the world's largest financial institutions; the sudden decline in available credit; the deterioration of the economy; the unprecedented intervention of the federal government to stabilize the financial markets and prevent a wider collapse; and most importantly, the terrible pain in the lives of ordinary Americans. And there are retirees who've lost much of their life savings, families devastated by job losses, small businesses forced to shut their doors.

According to the president’s speech, what were some effects of the financial crisis? Check all that apply.

the loss of savings for many workers
the increased strength of banks
the increased stability in the economy
the loss of credit in the economy
growing economic challenges for many

Answer 1

- the loss of savings for many workers
- the loss of credit in the economy
- growing economic challenges for many

(“Retirees who've lost much of their life savings” → loss of savings; “sudden decline in available credit” → loss of credit; “deterioration of the economy” and job losses → growing economic challenges. The speech does not say banks grew stronger or that the economy became more stable.)