In emerging market countries,the deterioration in bank's balance sheets has more ________ effects on lending and economic activity than in advanced countries.
A)negative
B)positive
C)affirming
D)advancing

Question

Quizplus · Accepted Answer

In emerging market countries, banks play a critical role in providing credit and financial services to businesses and individuals. When their balance sheets deteriorate, it limits their ability to lend and can negatively impact economic activity. Advanced countries, on the other hand, typically have more diversified financial systems and alternative sources of credit, making the impact of deteriorating bank balance sheets less severe.

In Emerging Market Countries,the Deterioration in Bank's Balance Sheets Has