When the financial system lacks the capability of making judgement about investment opportunities due to asymmetric information leading to potentially bad credit risks lending is subject to ?

Related Mcqs:

Monetary policy effects the _________ and __________?

A. reserve, unemployment B. money supply, interest rate C. taxes, exchange rate D. stock price, minimum wage...

The Bank of England and the Federal Reserve ?

A. are central banks B. are branches of commercial banks C. use fiscal policy to influence GDP D. loan money to most of LDC commercial banks...

If people with higher incomes pay a higher percentage of income in taxes, the income tax structure is ?

A. progressive B. regressive C. value added taxes (VAT) D. excise taxes...

fiscal incentives to attract businesses from abroad include ?

I- tax holidays II- accelerated depreciation III- import duty relief IV- lower tax rates for reinvested business profits A. I and II only B. III and IV only C. I, II and III only D. I, II, III, and IV...

Under financial repression ?

I- banks engage in non-price rationing of loans II- banks face pressure for loans to those with political connections III- banks charge a high premium on foreign investments IV- banks depend on foreign banks to set interest rates A. I and II only B. III and IV only C. I, II and III only D. … Under financial repression ?Read More...