A.
the population of the state began to decline
B.
too many people were given mortgages they could not afford
C.
falling oil prices caused risky petroleum-based businesses to fail
D.
bankers had been embezzling funds for their own personal use
Please select the best answer from the choices provided
A
B
C
D
1 answer
C. falling oil prices caused risky petroleum-based businesses to fail
This factor was primarily responsible for the collapse of Penn Square Bank in 1982. The bank had a significant exposure to the oil and gas industry, and the decline in oil prices led to numerous defaults on loans, contributing to its failure.
