Author Question: The existence of the Federal Deposit Insurance Corporation (FDIC): (Read 436 times)

azncindy619 · **on:** Jul 21, 2019

The existence of the Federal Deposit Insurance Corporation (FDIC):
◦ reduces the risk that customers of savings and loans will engage in moral hazard, but increases the risk that the lenders will engage in moral hazard.
◦ increases the risk that customers of savings and loans will engage in moral hazard, but reduces the risk that the lenders will engage in moral hazard.
◦ reduces the risk of moral hazard in the savings and loan industry.
◦ increases the risk of moral hazard in the savings and loan industry.

Jevvish · **Reply #1 on:** Jul 21, 2019

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