Banks responded to disintermediation by
A. supporting the elimination of interest rate regulations, enabling them to better compete for funds.
B. opposing the elimination of interest rate regulations, as this would increase their cost of funds.
C. demanding that interest rate regulations be imposed on money market mutual funds.
D. supporting the elimination of interest rate regulations, as this would reduce their cost of funds.
Answer:A
Banks responded to disintermediation by
A. supporting the elimination of interest rate regulations, enabling them to better compete for funds. B. opposing the elimination of interest rate regulations, as this would increase their cost of funds. C. demanding that interest rate regulations be imposed on money market mutual funds. D. supporting the elimination of interest rate regulations, as this would reduce their cost of funds.