Sometimes Regulators Refrain from Putting Insolvent Banks Out of Business

question 99

Multiple Choice

Sometimes regulators refrain from putting insolvent banks out of business. This is also known as ________.

• A) a decrease in deposit insurance
• B) a decrease in interest rates to fight the inflation problem
• C) regulatory forbearance
• D) increased regulation that prohibited banks from making risky loans

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Definitions:

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