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Nonbank Financial Institutions were allowed to borrow money from the Feds discount window during the Financial Crisis and even allowed to swap mortgages for Treasury

Nonbank Financial Institutions were allowed to borrow money from the Feds discount window during the Financial Crisis and even allowed to swap mortgages for Treasury securities. This was the Feds attempt to reduce ________________ at institutions.

A.

foreign exchange risk
B.

liquidity risk
C.

technology risk
D.

diversifiable risk
E.

operational risk

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