When financial intermediaries deleverage, firms cannot fund investment opportunities resulting in
A) a contraction of economic activity.
B) an economic boom.
C) an increased opportunity for growth.
D) a call for government regulation.
Answer: A
When financial intermediaries deleverage, firms cannot fund investment opportunities resulting in
A) a contraction of economic activity.
B) an economic boom.
C) an increased opportunity for growth.
D) a call for government regulation.