The Risk-Based Capital Requirements Have Received Several Types of Criticism

question 48

Short Answer

The risk-based capital requirements have received several types of criticism.Please match the criticism headings below (as stated in the text)with the appropriate criticism explanations in questions 20-122 to 20-130.
-20-128 Banks in the U.S.likely would need additional capital to meet the new minimum standards.
A)Competition
B)DI specialness
C)Excessive complexity
D)Impact on capital requirements
E)Other risks
F)Pillar 2 may ask too much of regulators
G)Portfolio aspects
H)Risk weights
I)Risk weights based on external credit rating agencies

• A)Competition
• B)DI specialness
• C)Excessive complexity
• D)Impact on capital requirements
• E)Other risks
• F)Pillar 2 may ask too much of regulators
• G)Portfolio aspects
• H)Risk weights
• I)Risk weights based on external credit rating agencies

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Definitions:

Conceptual Replication

Attempting to validate the findings of a previous study by using different methods or measures while keeping the underlying theory or hypothesis the same.

Generalization Problem

The issue faced when trying to apply the findings from research studies to broader contexts or different groups than those studied.

Purposive Sampling

A non-probability sampling method in which the researcher selects participants based on specific criteria and the purpose of the research.

Double-Blind Technique

A method used in research where neither the participants nor the experimenters know who is receiving a particular treatment, reducing bias.