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20-50 as Compared to Basel I,the Standardized Approach of Basel

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20-50 As compared to Basel I,the standardized approach of Basel II is designed to produce capital ratios that are more in line with the actual economic risks that the DIs are facing.


Definitions:

Distance

A measure of the spatial separation between two points or locations.

Pacinian Corpuscles

Structures in the skin and various organs that detect mechanical stimuli, particularly vibrations and pressure.

Free Nerve Endings

Sensory receptors located near the surface of the skin that detect temperature, pain, and touch stimuli without specialized structures.

Temperature

A physical quantity that expresses hot and cold. It is a measure of the thermal energy per particle of matter or radiation.

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