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    Modern Principles Macroeconomics
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    Exam 14: Transmission and Amplification Mechanisms
  5. Question
    A Collateral Shock Is
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A Collateral Shock Is

Question 28

Question 28

Multiple Choice

A collateral shock is:


A) one shock causing another shock.
B) a requirement to pledge an asset to secure a loan.
C) a reduction in the value of collateral.
D) an increase in the value of collateral.

Correct Answer:

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