Which of the following statements is true of the Dodd-Frank Act?
A) It played a major role in the U.S. economy meltdown of the first decade of the 21st century.
B) It required large firms in the financial sector to hold more equity and less debt in their capital structures.
C) It weakened government oversight of financial markets.
D) It required large firms in the financial sector to increase their debt-to-equity ratio.

Question

Quizplus · Accepted Answer

The Dodd-Frank Act was enacted in response to the financial crisis of 2008 and aimed to increase regulation and oversight of financial institutions, including requiring them to hold more equity and less debt to reduce risk.

Which of the Following Statements Is True of the Dodd-Frank