The main idea of the government's supervision and regulation of banks is that it is willing to banks that are solvent,
Banks that are insolvent or badly run.

Question

The main idea of the government's supervision and regulation of banks is that it is willing to  banks that are solvent,
Banks that are insolvent or badly run.

Quizplus · Accepted Answer

The government's supervision and regulation of banks involve ensuring that banks are solvent and providing insurance for their deposits or loans. However, if a bank is insolvent or poorly managed, the government is willing to close it down to protect the interests of depositors and maintain the stability of the banking system. Therefore, the best choice is D which indicates that the government is willing to insure deposits or provide loans to banks that are solvent, but will close down banks that are insolvent or badly run.

The Main Idea of the Government's Supervision and Regulation of Banks