Regular Bank Examinations and Restrictions on Asset Holdings Help to Indirectly

question 60

Multiple Choice

Regular bank examinations and restrictions on asset holdings help to indirectly reduce the ________ problem because,given fewer opportunities to take on risk,risk-prone entrepreneurs will be discouraged from entering the banking industry.

• A)moral hazard
• B)adverse selection
• C)ex post shirking
• D)post-contractual opportunism

---

Definitions:

Marketing Plans

Comprehensive strategies designed to achieve the marketing objectives of an organization, detailing actions for promotion, pricing, and product development.

Tracking Reports

Reports used to monitor and analyze the progress, performance, or location of specific items, activities, or campaigns over time.

Strategic Initiatives

Broadly, these are critical plans or actions that are designed to achieve major goals or overalls in an organization's strategy.

Marketing Executives

Professionals responsible for developing and overseeing marketing strategies to promote products, services, or brands.