Which one of the following does not explain why Canada survived the financial crisis so much better than did the United States.
A)Canada's banking regulations limit the amount of leverage and securitization possible.
B)Canada's Financial Consumer Agency restricted sub-prime lending.
C)Canadians never got caught up in the ideology that denies any need for regulation of the banking system.
D)House prices in Canada did not increase.

Question

Quizplus · Accepted Answer

While the other three options all address specific regulatory measures taken by Canada to limit risk in the financial system, option D refers to a factor that is not necessarily linked to regulation - the fact that house prices did not increase. While this may have contributed to Canada's resilience in the crisis, it is not a direct result of regulatory policy.

Which One of the Following Does Not Explain Why Canada