The objective of bank management is to
A. maximize stockholders’ profits by making risky investments and giving loans to borrowers who will pay the highest interest rates.
B. refuse to make risky loans and make loans only to the safest borrowers.
C. invest in the U.S. government securities and make loans only to established businesses.
D. strike the appropriate balance between the attraction of bank profits and the need for bank safety.
Answer: D
Economics
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