From a bank's perspective, the most vulnerable sources of funds are:

a. Short-term deposits
b. Reserve assets.
c. Long-term government securities.
d. Loans to companies with low credit ratings.
e. Long-term savings deposits.


.A

Economics

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As a percentage of GDP, the federal government expenditure which is expected to increase the most between 2012 and 2042 is

A) Social Security. B) Medicare and Medicaid. C) the net interest on the federal debt. D) national defense.

Economics

Differences in interest rates for different type of loans are due to:

A. the length of time the borrower has to repay the loan. B. the amount of the loan. C. government policy. D. exchange rate

Economics

Unions may lower real wages in the nonunion sector because

A. Union firms can easily hire nonunion workers for a lower wage. B. Workers who are displaced by higher wages in the unionized sector increase the labor supply in the nonunion sector. C. Nonunion firms adjust wages to avoid the threat of unionization. D. Nonunion firms have difficulty attracting skilled workers away from the unions.

Economics

Suppose a currency's value in the foreign exchange market is determined solely by market supply and demand without any intervention by the government authority, the currency has

A) a fixed exchange rate. B) a gold standard. C) a price control in its exchange rate. D) a floating exchange rate.

Economics