One Reason That Financial Regulations Restrict the Assets That Banks

question 87

Multiple Choice

One reason that financial regulations restrict the assets that banks can own is to:

• A)Combat the moral hazard that government safety nets provide
• B)Limit the growth rate of banks
• C)Prevent banks from being too profitable
• D)Keep banks from spending lavishly on perks for executives

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Definitions:

Cystic Fibrosis

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A condition characterized by an abnormally fast heart rate, typically more than 100 beats per minute in adults.