Bank consolidation is potentially a problem because
A) larger banks tend to be more diversified.
B) larger banks tend to take greater risks.
C) both of the above.
D) neither of the above.

Question

Quizplus · Accepted Answer

Larger banks might take greater risks due to their size and the perception that they are "too big to fail," which can lead to riskier financial practices and potentially destabilize the financial system.

Bank Consolidation Is Potentially a Problem Because