In one sense ________ appears surprising since it means that the bank is not ________ its portfolio of loans and thus is exposing itself to more risk.
A)specialization in lending;diversifying
B)specialization in lending;rationing
C)credit rationing;diversifying
D)screening;rationing

Question

Quizplus · Accepted Answer

Specialization in lending without diversifying a portfolio of loans means a bank is focusing on a narrow range of loan types, which increases its exposure to risk if that particular loan category performs poorly.

In One Sense ________ Appears Surprising Since It Means That