It is difficult for depositors to know the true health of banks because:
A. regulations prohibit banks making their financial statements publicly available.
B. banking is competitive and financial records of banks are not divulged to prevent competitor banks from having an advantage.
C. most of the information on bank loans is private and based on sophisticated models.
D. the financial statements of banks are too difficult for most people to understand.
Answer: C
You might also like to view...
[NeedAttention]
Exhibit 30-2
?
At the point where diminishing marginal returns set in, the slope of the total product curve is
a. positive and increasing b. positive and decreasing c. negative and increasing d. negative and decreasing e. constant
The largest revenue source in the U.S. federal tax system is the corporate income tax
a. True b. False Indicate whether the statement is true or false
Suppose there was a debate regarding how to spend $1 billion in newly found revenues in the budget. Suppose the most liberal Democrat suggests an increase to Food Stamp (SNAP) allotments. Suppose the most conservative Republican suggests an increase in defense spending. Each is arguing that their plan will get the most good for the money. What is going on here?
A. Neither are using marginal analysis. B. Only the Republican is using marginal analysis. C. Only the Democrat is using marginal analysis. D. Both are employing marginal analysis, just from different perspectives.