Difficulty: Medium
Correct Answer: Only I and III are strong
Explanation:
Introduction / Context:
The issue is structural reform of the banking sector through consolidation. We must identify which arguments are strong at the level of systemic stability and public interest, not just transitional inconveniences.
Given Data / Assumptions:
Concept / Approach:
Strong arguments (I and III) focus on stability, efficiency, and industry health. Argument II cites a transitional effect; by itself, it is not a decisive policy refutation of consolidation.
Step-by-Step Solution:
Verification / Alternative check:
Many jurisdictions have executed phased consolidations with safeguards for employees and competition, aligning with I and III.
Why Other Options Are Wrong:
Common Pitfalls:
Equating short-term transition costs with long-term structural benefits; policy should weigh both and include social safety nets.
Final Answer:
Only I and III are strong
Discussion & Comments