The government regulates financial markets for two main reasons:
A) to ensure soundness of the financial system and to increase the information available to investors.
B) to improve control of monetary policy and to increase the information available to investors.
C) to ensure that financial intermediaries do not earn more than the normal rate of return and to improve control of monetary policy.
D) to ensure soundness of financial intermediaries and to prevent financial intermediaries from earning less than the normal rate of return.
A
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A ________ is one that has a better payoff than another decision under each state of nature
A) coefficient of optimism B) equal likelihood criterion C) dominant decision D) none of the above
A(n) ________ cost is incurred by a company to assess its quality levels
Fill in the blank with the appropriate word.