Fractional reserve banking takes its name from the fact that:
A) banks hold only a fraction of their reserves at the bank itself.
B) banks keep only a fraction of total deposits on reserve.
C) banks reserve only a fraction of their activity for lending.
D) all of the above
Correct Answer:
Verified
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Q62: A depositor cannot directly write checks against:
A)demand
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Q65: A bank may hold secondary reserves, such
Q66: A bank's capital is:
A)the value of all
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Q69: Can bankers create money?
A)No, they do not
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