If the Government Did Not Offer the Too-Big-To-Fail Safety Net

Multiple Choice

If the government did not offer the too-big-to-fail safety net:

A) large banks would be more disciplined by the potential loss of large corporate accounts.
B) the moral hazard problem of insuring large banks would increase.
C) the moral hazard problem of insuring large banks would not be affected.
D) the FDIC deposit insurance limits would have to be raised.