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nguyenduong67 nguyenduong67
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6 years ago
Suppose that lenders believe that the government will provide assistance if too many of the lenders' borrowers do not pay back their loans. If lenders expect government assistance they will
A) not change their lending policies because this expectation is not reasonable.
B) increase the interest rates that they charge borrowers who are less likely to repay loans.
C) make more loans to borrowers who are less likely to repay them.
D) make fewer loans to borrowers who are less likely to repay them.
Textbook 
Survey of Economics: Principles, Applications and Tools

Survey of Economics: Principles, Applications and Tools


Edition: 6th
Authors:
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Quinn1981Quinn1981
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nguyenduong67 Author
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6 years ago
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Helped a lot
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