The Economic Value of Narrowly Defined Bank Franchises Has Declined

question 72

Multiple Choice

The economic value of narrowly defined bank franchises has declined because

• A)product line restrictions inhibit the ability of an FI to optimize the set of financial services it can offer.
• B)product restrictions limit the ability of FI managers to adjust to shifts in the demand for financial products.
• C)product restrictions limit the ability of FI managers to adjust to shifts in costs due to technology and related innovations.
• D)All of the options.
• E)None of the options.

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Definitions:

Smaller Steps

A strategy involving breaking down goals into manageable, smaller tasks to improve the likelihood of accomplishment.

Recognition Need

The human desire to be acknowledged and valued by others, particularly in the context of one's contributions or achievements.

Meritorious Behavior

Actions or conduct deserving praise and reward, often associated with high standards of performance or ethics.

Material Reward

Tangible incentives such as money, bonuses, or gifts given to employees as recognition for their work or achievements.