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Moral hazard is a problem in providing deposit insurance because insured banks are

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Moral hazard is a problem in providing deposit insurance because insured banks are

Moral hazard is a problem in providing deposit insurance because insured banks are
A) more likely to make bookkeeping errors.
B) overly cautious due to extra regulations adopted by the Canada Deposit Insurance Corporation.
C) more likely to provide bank managers with lavish perquisites.
D) encouraged to take on more risk.
E) more likely to offer interest rates on loans that are greater than market interest rates.

Textbook

Macroeconomics, Canadian Edition

Edition: 5^th

Author: Williamson

Read 104 times

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ice5192 Author

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Thank you

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