Question

When the 2008 financial crisis began in the United States, it resulted in the collapse of the housing market and the failure of several large financial institutions. This crisis spread rapidly to the rest of the world. This example demonstrates which trend in the global economic environment?

a. Economic development differs widely among countries of the world.
b. Market demands differ for products and services throughout the world.
c. Political instability is the primary result of economic failure.
d. World markets are economically interconnected.
e. Cultural factors have a greater impact on world markets than do economic factors.

Answer 1

The example of the 2008 financial crisis demonstrates that world markets are economically interconnected.

Step-by-step explanation:

The example of the 2008 financial crisis demonstrates the trend that world markets are economically interconnected. When the crisis began in the United States, it quickly spread to the rest of the world, resulting in the collapse of the housing market and the failure of several large financial institutions. This shows how the economic conditions in one country can have significant effects on other countries.