The 2008-2009 recession in Canada was much smaller than in the U.S. for all of these reasons, except:
A)Canada had stiffer regulations on banks and mortgages.
B)Canada had a much smaller shadow-banking sector.
C)Canadian banks did not engage in any mortgage lending.
D)Canadian banks were better capitalized than U.S. banks.

Question

Quizplus · Accepted Answer

Canadian banks did engage in mortgage lending, but they were more conservative in their practices compared to U.S. banks.

The 2008-2009 Recession in Canada Was Much Smaller Than in the U.S