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simmiie259 simmiie259
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A year ago
What is meant by the commonly used phrase "too big to fail"?

▸ Large banks typically have enough equity to avoid failure.

▸ Large banks typically have enough potential lenders to increase solvency if faced with a threat of failure.

▸ Large banks are more strictly regulated by the government and thus less likely to fail.

▸ Governments will likely be politically motivated to bail out large banks if they fail due to systemic risk.
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Macroeconomics

Macroeconomics


Edition: 3rd
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jpinette86jpinette86
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A year ago
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simmiie259 Author
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A year ago
Brilliant ツ
erimis
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Yesterday
I appreciate what you did here, answered it right Smiling Face with Open Mouth
Kstan109
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2 hours ago
Correct Slight Smile TY
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