Rationing in the large may have the following implications) :
A) an increase in the upper bound of the loan amount the bank is willing to lend will increase the likelihood of each borrower being rationed
B) an increase in the upper bound of the loan amount the bank is willing to lend will increase aggregate rationing
C) an increase in the upper bound of the loan amount the bank is willing to lend will decrease the likelihood of each borrower being rationed
D) an increase in the upper bound of the loan amount the bank is willing to lend will decrease aggregate rationing
E) only a and b
Correct Answer:
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Q2: With asymmetric information, a bank can earn
Q3: The variables of interest for determining the
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Q5: After a loan is approved, it will
Q6: Rationing in the large means that
A)a borrower
Q8: Use the following information for problems
There
Q9: Credit rationing is a situation whereby
A)there is
Q10: An advantage of maintaining records of previous
Q11: Use the following information for problems
There
Q12: Use the following information for problems
There
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