The development of the shadow banking system

Assignment Help Business Economics
Reference no: EM131112278

The development of the “shadow banking” system and the deregulation of banking and finance over the last thirty years has today contributed to: (a) less concentration in the industry as many more new, start-up firms were able to enter. (b) more stability in the financial sector as big banks are able to diversify. (c) the largest financial crisis since the Great Depression (d) a smaller role for the Federal Reserve as a lender of last resort.

Reference no: EM131112278

Questions Cloud

The federal reserve policy known as quantitative easing : The Federal Reserve policy known as “Quantitative Easing” or QE is the Fed
What is the price elasticity of labor supply : Suppose a wage increase from $11 to $13 an hour increases the number of job applicants from 42 to 56. What is the price elasticity of labor supply?
Small-town ready-mix concrete duopolists : Joe and Rebecca are small-town ready-mix concrete duopolists. The market demand function is Qd = 10,000 – 100P, where P is the price of a cubic yard of concrete and Qd is the number of cubic yards demanded per year. Marginal cost is $25 per cubic yar..
To ease monetary policy to fight a recession : To ease monetary policy to fight a recession, the Fed would:
The development of the shadow banking system : The development of the “shadow banking” system and the deregulation of banking and finance over the last thirty years has today contributed to:
Federal deposit insurance was intended to prevent : The establishment of Federal deposit insurance was intended to prevent:
Commercial banks will tend to vary their lending in way : Commercial banks will tend to vary their lending in a way that:
The budget deficit of the government of lyria : The budget deficit of the government of Lyria, an open economy, has persistently remained higher than 6 percent of GDP. Murphy Smith, a banker, feels that a high budget deficit is detrimental to economic growth. In his opinion, there should be a law ..
An increase in the money supply : An increase in the money supply in the U.S will not

Reviews

Write a Review

Business Economics Questions & Answers

  What percentage change in the CPI

According to the BLS, the CPI rose 3.8% in August of this year compared to a year earlier. Food prices rose 4.6% and clothing prices were up 4.2%, while new car prices rose 3.8%, and medical care was up 3.2%. What percentage change in the CPI up unti..

  Supply of money through quantitative easing

In its effort to reduce the time value of money, the Federal Reserve System began aggressively increasing the supply of money through Quantitative Easing. What is true and what is false about the above statement? Explain

  Calculate the elasticity of demand as a function

Calculate the elasticity of demand as a function of Q. Does firm's profit maximization problem satisfy the global SOC? Using your answer 1,2 question, what is firm's profit maximizing markup?

  Normally distributed with standard deviation

An estimated 1.8 million students take on student loans to pay ever-rising tuition and room and board (The New York Times, April 17, 2009). It is also known that the average cumulative debt of recent college graduates is about $20,100. Let the cumula..

  Identify the null and alternative hypotheses

A study is performed in a large southern town to determine whether the average weekly grocery bill per four-person family in the town is significantly different from the national average. Identify the null and alternative hypotheses for this situatio..

  What will be the employers per-employee profit

An employer faces two types of employees. Regular workers are 70% of the population and generate $100,000 in productivity. Exceptional workers are 30% of the population, and generate $120,000 in productivity. Employees know their types, and reject sa..

  Find all nash equilibrium

On Friday night, Elton and his partner Rodney are deciding where to go for dinner. The choices are Indian, Korean, and Mexican. Elton most likes Indian food and most dislikes Mexican food, whereas Mexican is Rodney’s favorite and Indian is his least ..

  How much must be set aside in his savings account

He is going to travel the world this summer and won't be working. How much must be set aside in his savings account for the 3-month summer to cover his rent for next year? The savings account earns 3% with monthly compounding.

  Why does central planning not work efficiently

Explain how a price increase could be better for society than not raising the price of a product or service. Why does central planning not work efficiently?

  Find the consumer-producer and total surpluses

Consider the following market QD= 15-2P   QS= 5P-2.5, with the government imposing a tax of 1.4 dollars per unit. Find the consumer, producer and total surpluses. What is the tax burden for each of the market participant?

  Understanding of one key aspect of perfect competition

Discuss your understanding of one key aspect of perfect competition. Apply your understanding of perfect competition to the world around you. In a perfectly competitive industry, buyers and sellers are "price-takers". What exactly does it mean to say..

  Elucidate how many units bonus will be paid

The distribution of the weekly production is approximately normally distributed with a standard deviation of 60 units. If the bonus is paid on the upper 5 percent of production, the bonus will be paid on how many units or more.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd