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Financial crises usually occur after a bubble crashes. Some regulation on the following can prevent, or at least decrease the frequency of bubbles happening in
Financial crises usually occur after a bubble crashes. Some regulation on the following can prevent, or at least
decrease the frequency of bubbles happening in the system:
I. prevent or discourage shortselling
II allow or facilitate shortselling
III. make trading of financial assets easy
IV regulate borrowing for investment in financial assets
V make funds easily available for investment in financial assets
Select one:
a I and IV
b II
c II III and V
d III and IV
e IV
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