Credit default swaps contributed to the crisis

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Reference no: EM13804439

Credit default swaps contributed to the crisis in all the following reasons except:

a. Financial institutions relied heavily on credit default swaps to protect themselves from default risk.

b. Credit defaults swaps relaxed the lending standards of banks.

c. Banks used credit default swaps and securitization to shift risks off their balance sheet.

d. All of the above are true.

Reference no: EM13804439

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