Difference between a cash crunch and insolvency

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1. When and why did the financial services sector become deregulated, and what is the difference between the two main components of regulation, rules and enforcement of the rules?

2. How does easy credit differ from regular credit and why is it the most essential ingredient for a bubble?

3. What is the difference between a cash crunch and an insolvency, how does this difference determine when a lender of last resort rescues a bank, and how does such a rescue differ from a bailout?

4. Do you think the reforms put in at the end of the S&L crisis will prevent such a crisis from happening again?

Reference no: EM133060214

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