11
QuizMultiple Choice

The Economy in the 1970s — Quiz

Question 11 • United States History and Geography

President Carter’s Community Reinvestment Act

Answer
A
encouraged banks to lend in low- and moderate-income areas.
B
encouraged the wealthy to take out more loans.
C
encouraged banks to charge more interest on loans.
D
encouraged the wealthy to invest in suburban areas.

Explanation

The Community Reinvestment Act, signed by President Carter in 1977, encouraged banks to help meet the credit needs of the communities where they operated, including low- and moderate-income neighborhoods. It did not specifically encourage wealthy people to borrow or invest, or tell banks to charge higher interest rates. Therefore, the correct choice is “encouraged banks to lend in low- and moderate-income areas.”

AI-written and checked against the verified answer.

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