With no government regulation, how much bank capitals would banks hold? A. Too much capital, reducing the profitability of banks. B. Too much capital, making it more difficult to obtain loans. C. Too little capital, reducing the profitability of banks. D. Too little capital, making it more likely to fail.
With no government regulation, how much bank capitals would banks hold? A. Too much capital, reducing the profitability of banks. B. Too much capital, making it more difficult to obtain loans. C. Too little capital, reducing the profitability of banks. D. Too little capital, making it more likely to fail.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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With no government regulation, how much bank capitals would banks hold?
A. Too much capital, reducing the profitability of banks.
B. Too much capital, making it more difficult to obtain loans.
C. Too little capital, reducing the profitability of banks.
D. Too little capital, making it more likely to fail.
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