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valputin valputin
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8 years ago
Moral hazard and adverse selection problems increased in prominence in the 1980s
A) following a burst of financial innovation in the 1970s and early 1980s that produced new financial instruments and markets, thereby widening the scope for risk taking.
B) following a decrease in federal deposit insurance from $100,000 to $40,000.
C) as interest rates were sharply decreased to bring down inflation.
D) as deregulation required savings and loans and mutual savings banks to be more cautious.
Textbook 
The Economics of Money, Banking and Financial Markets, Business School Edition

The Economics of Money, Banking and Financial Markets, Business School Edition


Edition: 4th
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Our course uses > The Economics of Money, Banking and Financial Markets
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MeelaMeela
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8 years ago
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valputin Author
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8 years ago
Correct
Our course uses > The Economics of Money, Banking and Financial Markets
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#3
8 years ago
Slight Smile Good luck with the rest
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