Question ID:PT30 S2 Q15 Passage:During the recent economic downturn, banks contributed to the decline by loaning less money. Prior to the downturn, regulatory standards for loanmaking by banks were tightened. Clearly, therefore, banks will lend more money if those standards are relaxed. Stem:The argument assumes that Correct Answer Choice:AChoice A:the downturn did not cause a significant decrease in the total amount of money on deposit with banks which is the source of funds for banks to lend Choice B:the imposition of the tighter regulatory standards was not a cause of the economic downturn Choice C:the reason for tightening the regulatory standards was not arbitrary Choice D:no economic downturn is accompanied by a significant decrease in the amount of money loaned out by banks to individual borrowers and to businesses Choice E:no relaxation of standards for loanmaking by banks would compensate for the effects of the downturn