The actual reason that banks must hold required reserves is: a. to enhance liquidity and deter bank
Question:
The actual reason that banks must hold required reserves is:
a. to enhance liquidity and deter bank runs.
b. to help fund the Federal Deposit Insurance Corporation, which insures bank deposits.
c. to give the Fed control over the lending ability of commercial banks.
d. to help increase the number of bank loans.
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Related Book For
Macroeconomics
ISBN: 9781264112456
22nd Edition
Authors: Campbell McConnell, Stanley Brue, Sean Flynn
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