Regulation of financial institutions is usually justified by governments because of a need to:

Question

Quizplus · Accepted Answer

Regulation of financial institutions is justified for several reasons: to protect small savers from potential losses, to promote public confidence in the stability and integrity of the financial system, to ensure equal opportunity and fairness in access to financial services, and to control the creation and growth of money, which is crucial for economic stability.

Regulation of Financial Institutions Is Usually Justified by Governments Because