What three critical factors or preconditions turned a national, U.S. problem into a global financial crisis in 2007? Be sure to address the role securitization played and how it affected regulators.
What will be an ideal response?
Question 2
Suppose that the United States decided to subsidize a major competitive effort by the semiconductor industry to bring to market the next generation computer chip. Under the current rules of the WTO and GATT, the U.S. effort is
A) allowed as long as the subsidies are a small percent of the total cost.
B) allowed as long as the subsidies do not involve a direct payment to the industry.
C) not allowed.
D) allowed as long as the subsidies do not succeed in creating a new product.