The introduction of Basel III capital requirements is expected to result in:

Question 3 options:

A)	Slower economic growth and lower volatility
B)	Slower economic growth and higher volatility
C)	Faster economic growth and higher volatility
D)	No effect on economic growth and volatility
E)	Faster economic growth and lower volatility

What is one of the disadvantages of using loan backed bonds?

Question 4 options:

A)	There is greater default risk on the bonds
B)	Loans used as collateral for the bonds must be held until the bonds reach maturity
C)	Loan backed bonds have shorter maturities than deposits
D)	The cost of funding often rises