Disintermediation occurred in the S&L industry
A) when funds were transferred from commercial paper markets into S&L deposits.
B) when funds were withdrawn from S&Ls and reinvested directly in the open market.
C) because the Fed raised Regulation Q ceilings.
D) because sharply falling interest rates led depositors to abandon the low returns paid on S&L deposits.
Correct Answer:
Verified
Q51: What problem occurs when FDIC-insured banks make
Q52: The FDIC presently insures deposits up to
Q53: Deposit insurance can be credited with
A)increasing the
Q54: Which of the following is false?
A)In the
Q55: Disintermediation
A)is the removal of funds from financial
Q57: Some of the new areas of concern
Q58: Domestic financial assets are not a part
Q59: Off-balance-sheet activities include which of the following?
A)Overdraft
Q60: New financial risk situations result from
A)the changing
Q61: Domestic financial assets
A)are a part of national
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