Credit Scoring Models Include All of the Following Broad Types

question 34

Multiple Choice

Credit scoring models include all of the following broad types of models EXCEPT

• A)Linear discriminant models.
• B)Linear probability models.
• C)Term structure models.
• D)Logit models.
• E)None of these.

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Definitions:

Recessionary Gap

A situation where the real GDP is lower than the potential GDP at the full employment level, resulting in underutilized resources and higher unemployment.

Public Policy

A course of action or inaction chosen by public authorities to address a given problem or interrelated set of problems.

Active Policy Approach

A strategy where government policies actively seek to influence economic conditions, such as through fiscal and monetary policies, to achieve specific economic goals.

Recessionary Policy

Economic policies implemented to combat recession, often involving increased government spending and decreased taxation.