Question

Which statement best describes the relationship between United States and other countries in the global economy during the financial crisis of 2008?
A crisis in the United States spread to other countries because of a global housing industry.
A crisis in the United States spread to other countries because of a global financial industry.
A crisis in other countries spread to the United States because of a global automotive industry.
A crisis in other countries spread to the United States because of a global energy market.

Answer 1

A crisis in the United States spread to other countries because of a global financial industry.

Explanation: The 2008 crisis began with U.S. mortgage/financial sector losses that spread worldwide through globally connected banks, investment firms, and securitized financial products, causing a global credit crunch.