What is credit creation?
A) It refers to the government's ability to obtain loans to pay for its expenditure.
B) It refers to the conversion of existing bank deposits into loans to borrowers.
C) It is the process of reducing the scale of operations of a bank.
D) It refers to an expansion in the number of customer deposits with the banks.
Correct Answer:
Verified
Q8: _ are current accounts which provide instant
Q9: _ are involved in brokering very large
Q10: A capital adequacy ratio measures:
A) the value
Q11: The risk that the collapse of one
Q12: Double coincidence of wants occurs when:
A) one
Q14: Bonds that are linked to other banks'
Q15: Which of the following is true of
Q16: The amount of notes and coins in
Q17: Which of the following is included in
Q18: Which of the following statements is true
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