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Banking

Assignment No 3

Q1. What is meant by cushion zone and caution zone? Describe in your own words.
Q2. Describe the difference in U.S capital structure of banking in comparison with European
banking structure.
Q3. Why US banking sector is able to recover quickly from the negative impact of pandemic in
comparison to European banking sector.
Q4. Describe the danger zone.
Q5. What actions are supposed to be taken by the government for rehabilitation of banking sector
of developed economies?

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