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As a percentage of the typical commercial bank's balance sheet, given deregulation beginning in 1980, which...

  1. As a percentage of the typical commercial bank's balance sheet, given deregulation beginning in 1980, which of the following has increased as a percent of total over the last 50 years?

            A) consumer loans                   B) Business loans          C) Corporate Bonds       D) Mortgages.

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Answer #1

Answer - (D)

In the early 1980s, Congress passed laws with the intent to deregulate the Savings and Loans industry,

Depository Institutions Deregulation and Monetary Control Act of 1980

Garn-St. Germain Depository Institutions Act of 1982.

These laws allowed thrifts to offer a wider array of savings products, mostly adjustable-rate mortgages.

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