Which of the Following May NOT Help Avoid a Financial

question 43

Multiple Choice

Which of the following may NOT help avoid a financial crisis?

• A)Maintaining credible and sustainable fiscal policies
• B)Regulation and supervision of the financial system
• C)Disclosure of timely information to lenders,investors,and depositors about key economic variables such as the central bank's holding of international reserves
• D)Immediately bailing out financial intermediaries and standing ready to bail out others in case a financial crisis occurs
• E)Maintaining credible and sustainable monetary policies