Unanticipated Moral Hazard Contingencies Can Be Reduced by

question 64

Multiple Choice

Unanticipated moral hazard contingencies can be reduced by

• A)screening.
• B)long-term customer relationships.
• C)specialization in lending.
• D)credit rationing.

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Definitions:

Stamp Act

A 1765 British law that imposed a tax on the colonies by requiring them to purchase and use stamped paper for legal documents, newspapers, and other publications, leading to widespread protest in the American colonies.

Colonial Protests

Acts of resistance or demonstration by colonial populations against the policies, rules, or taxes imposed by colonial powers or governing entities.

Patrick Henry

An American attorney, planter, and orator best known for his declaration to the Second Virginia Convention: "Give me liberty, or give me death!"

Tea Act

A 1773 law passed by the British Parliament to reduce the massive amount of tea held by the financially troubled British East India Company in its London warehouses and to help the struggling company survive.