Regulations Limiting Risk Taking of Financial Institutions Are Imposed Because

question 69

Multiple Choice

Regulations limiting risk taking of financial institutions are imposed because

• A) the costs of regulation exceeds the benefits.
• B) the private costs of failure exceed the social costs of failure.
• C) the social costs of a general bank failure exceed the private costs to shareholders.
• D) risk is harmful.

---

Definitions:

Discriminated Against

Treated differently or unjustly on the basis of certain characteristics, such as race, age, sex, or nationality, leading to denial of rights or opportunities.

America

Often used to refer to the United States, a country consisting of 50 states, a federal district, five major self-governing territories, and various possessions.

Protest

A public demonstration of objection, disapproval, or dissent towards an idea or action, often involving gatherings, marches, or rallies.