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  2. Topic
    Business
  3. Study Set
    Macroeconomics Policy and Practice
  4. Exam
    Exam 15: Financial Crises and the Economy
  5. Question
    A Likely Consequence of Deposit Insurance,ceteris Paribus,is ________
Solved

A Likely Consequence of Deposit Insurance,ceteris Paribus,is ________

Question 2

Question 2

Multiple Choice

A likely consequence of deposit insurance,ceteris paribus,is ________.


A) an increase in risk-taking by banks
B) a bank panic
C) a credit boom
D) a reduction in the severity of adverse selection

Correct Answer:

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