The Basel Capital Requirements Differ from Previous Capital Standards in All

question 64

Multiple Choice

The Basel capital requirements differ from previous capital standards in all except one of the following ways?

• A)More stringent capital standards for large banks than for small banks.
• B)Inclusion of off balance sheet assets in the asset base.
• C)Restrictions on the amount of goodwill that can be counted towards primary or Tier I capital.
• D)Risk weighting of assets on the basis of credit risk exposure.
• E)Risk weighting of off balance sheet contingencies.

---

Definitions:

Personal Construct Theory

A theory in psychology proposing that individuals interpret the world and experiences through their own unique set of internal constructs.

Richard Ryan

A clinical psychologist often associated with the Self-Determination Theory, which he co-developed with Edward Deci, focusing on human motivation and personality in social contexts.

Edward Deci

A prominent psychologist known for his research on human motivation, especially related to self-determination theory and intrinsic motivation.

Self-Determination Theory

A theory of motivation that emphasizes the role of intrinsic values and the need for autonomy, competence, and relatedness in fostering motivation.