Loans are:
a. assets of banks, liabilities of borrowers.
b. liabilities of banks, assets of borrowers.
c. assets of banks and their borrowers
d. liabilities of banks and their borrowers.
a
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Which of the following antebellum banking innovations was the forerunner of the modern Federal Deposit Insurance Corporation (FDIC)?
a. the Suffolk System b. the Safety Fund Act c. the Forstall System d. the bimetallic standard
The opportunity cost of 1 wristwatch is 4 wall clocks in Japan and 2 wall clocks in Germany. If the nations split the difference between the willingness to pay and the willingness to accept, the terms of trade would be 3 wristwatches per wall clock.
Answer the following statement true (T) or false (F)
From the 1960s to 2016, transfer payments
A) have risen from 25 percent to about 49 percent of federal government expenditures. B) remained the same percentage of total federal government expenditures. C) have declined by half as a percentage of total federal government expenditures. D) have grown very slowly as a percentage of total federal government expenditures.
The Federal Reserve banks could probably have prevented many of the bank failures in the early 1930s by: a. raising the reserve requirement of the commercial banks
b. lending money to the commercial banks. c. improving the system whereby checks are cleared. d. helping to create a commission of experts to engage in a prolonged study of the problem. e. selling large amounts of government bonds.