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The 'Equity' Problem Is

Question 24

Multiple Choice

The 'equity' problem is


A) fundamentally about the distribution of income in the capitalist system, and what seems fair given different people's inputs, job security, advancement, recognition, diversity, and flexible work schedules.
B) about banks' inadequate reserves of equity compared to their debt funding from savers.
C) about excessive gearing generally in the financial system, and the failure of global regulators to ensure adequate reserve ratios.
D) the old agency problem: shareholders being ripped off by managers giving themselves bonuses that are far too generous.

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