The Credit Guarantee Scheme had the intention of
A) guaranteeing loans on the interbank market, removing the risk of default and so encouraging banks to start lending to each other again.
B) guaranteeing mortgages to encourage banks to lend to home owners.
C) guaranteeing loans that are less than £100,000.
D) injecting sufficient funds into the liquidity system to ensure banks could lend to the wider public.
Correct Answer:
Verified
Q27: Which of the following statements is true?
A)
Q28: The central bank of the UK is
Q29: Which of the following activities is one
Q30: Which of the following activities is not
Q31: The Central Bank is the ultimate guarantor
Q33: Which of the following are parallel money
Q34: Which of the following banks have been
Q35: Which of the following institutions would not
Q36: Banks can create money
A) by
Q37: Assume the banking system is 'closed' (i.e.
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