=+loans will be repaid and he'll make high profits. If the real estate market goes bust, the

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=+loans will be repaid and he'll make high profits. If the real estate market goes bust, the loans won't be repaid and the bank will fail—but he will not lose any of his own wealth. How would modern bank regulation frustrate his scheme?

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Economics

ISBN: 9781319066604

5th Edition

Authors: Robin Krugman, Paul Wells

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