Question

Which two statements below are contributing factors to the home mortgage crisis? Companies were guilty of unwise lending practices. Interest rates made it too hard to purchase a home. The Federal government was guilty of poor policies. There was too much oversight into lending practices.

Answer 1

The correct answers are A) companies were guilty of unwise lending practices and C) The Federal government was guilty of poor policies.

The two statements that were contributing factors to the home mortgage crisis were: companies were guilty of unwise lending practices and the Federal government was guilty of poor policies.

The economic crises of 2008 derivated of the home mortgage crisis due to indiscriminate and risking bank practices as long as companies unwise lending practices and the Federal government poor policies. This was the worst economic crisis for the United States since the Great Depression in the 1920s. House prices fell 31.9 percent and the consequence of the crisis was that the economy of the United States was in recession.  

Answer 2

"Companies were guilty of unwise lending practices" and "The Federal government was guilty of poor policies" are both correct since there was lots of "loose lending" that allowed people who weren't prepared to purchase homes.