Regulatory Forbearance

question 79

Multiple Choice

Regulatory forbearance

• A)meant delaying the closing of "zombie S&Ls" as their losses mounted during the 1980s.
• B)had the advantage of benefiting healthy S&Ls at the expense of "zombie S&Ls," as insolvent institutions lost deposits to health institutions.
• C)had the advantage of permitting many insolvent S&Ls the opportunity to return to profitability,saving the FSLIC billions of dollars.
• D)increased adverse selection dramatically.

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Definitions:

Mania

A mental health condition characterized by periods of extremely high energy, euphoria, or irritability, often found in bipolar disorder.

Ludus

A style of love characterized by viewing love as a game, focused on enjoyment and fun rather than deep emotional attachment or commitment.

Low Self-esteem

A condition characterized by a lack of confidence and feeling unfavorably about oneself.

Other-oriented Perspective

An approach focusing on understanding and considering the thoughts, feelings, and values of others.