Government Backing Encourages Banks To Boost Risks: Study

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Government Backing Encourages Banks To Boost Risks: Study

Government guarantees lead not to more lending but to more risk-taking by banks, according to a new research study of more than 2,200 financial institutions around the world. Dulani Jayasuriya, a candidate for a doctorate in finance at the National University of Singapore, made the finding in a not-yet-published study based on data collected by central…

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