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Contagion Refers to

Question 27

Multiple Choice

Contagion refers to


A) the spreading of bad news about one bank to include other banks.
B) the tendency for one bank regulator to become more strict if other bank regulators become more strict.
C) the tendency for the desire for increased bank regulation to spread from one politician to another.
D) the tendency for one bad loan in a bank portfolio to cause other loans in the portfolio to go bad.

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