Banks Responded to Disintermediation by

question 46

Multiple Choice

Banks responded to disintermediation by

• A)supporting the elimination of interest rate regulations,enabling them to better compete for funds.
• B)opposing the elimination of interest rate regulations,as this would increase their cost of funds.
• C)demanding that interest rate regulations be imposed on money market mutual funds.
• D)supporting the elimination of interest rate regulations,as this would reduce their cost of funds.

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Definitions:

Mental Retardation

An outdated and insensitive term formerly used to describe a condition characterized by below-average intellectual function and a lack of skills necessary for daily living; now referred to as intellectual disability.

DSM-IV-TR

The fourth edition, text revision of the Diagnostic and Statistical Manual of Mental Disorders, a guideline for diagnosing mental disorders used in the United States.

Axis III

a category within the Diagnostic and Statistical Manual of Mental Disorders (DSM-IV) used to report physical or medical conditions that are potentially relevant to understanding or treating a patient's mental condition.

Physical Disorders

Health conditions that affect the body's structure or function, often requiring medical intervention.