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Business, 21.12.2020 19:10 lisabrewer18

Moral hazard can contribute to high bank leverage in all of the following ways EXCEPT: a. federal deposit insurance has reduced the incentive of depositors to monitor the behavior ofbank managers.
b. high bank leverage provides shareholders with a potential for a higher return on equity.
c. having high capital requirements.
d. bank managers are compensated in part on providing shareholders with high returns onequity.

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