The Practice of Borrowing Short and Lending Long

question 346

Multiple Choice

The practice of borrowing short and lending long

• A) pools risk.
• B) minimizes the cost of monitoring borrowers.
• C) creates liquidity.
• D) All of the above answers are correct.

---

Definitions:

Non-College-Bound Youth

Young individuals who choose not to pursue tertiary education after completing high school, opting for other paths instead.

Western Culture

The social norms, beliefs, values, and customs originating from countries in the Western hemisphere, particularly Europe and North America.

Open Jobs

Positions of employment that are currently available and unoccupied, awaiting applicants.

Nontraditional Students

Individuals who pursue higher education or training later than conventional ages or who may deviate from the traditional pathway of attending college directly after high school.