Which of the following is true of offshore banking?
a. The offshore banks are mainly concentrated in the European Union and the transactions are generally denominated in euro.
b. The offshore banks operate with costly restrictions and pay higher taxes than the domestic banks.
c. The offshore banks usually charge higher rates of interest on consumption loans than the domestic banks.
d. Offshore banks in the U.S. are able to offer a higher rate on dollar deposits and a lower rate on dollar loans than their domestic competitors.
e. Offshore banking transactions are considerably less risky than domestic transactions as they are closely monitored by the government of the nations in which they operate.
d
You might also like to view...
Which of the following was the average yearly increase in U.S. labor productivity growth between the 1870s and the early years of the 21st century?
a. About 1 percent b. About 2 percent c. About 5 percent d. About 10 percent e. Between 0 and 1 percent
Employing a lawyer to draft and enforce a private contract between parties wishing to solve an externality problem is an example of
a. an opportunity cost. b. an implicit cost. c. a sunk cost. d. a transaction cost.
A higher real interest rate typically induces consumers to:
a. To borrow more money. b. Save less c. Purchase more goods that are bought using credit d. Purchase fewer goods that are bought using credit
?Within the simple Keynesian Cross model, equilibrium takes place:
A. ? at full employment. B. ?when aggregate spending equals real disposable income. C. ?when the money interest rate and real interest rate are equal. D. ?when actual and expected rates of inflation are equal.