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Author Question: Banks do not create money when they make loans. a. True b. False Indicate whether the statement ... (Read 149 times)

Yolanda

  • Hero Member
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on: Jun 30, 2018
Banks do not create money when they make loans.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

The money supply will not increase if you deposit 100 given to you on your birthday in your bank account, and the bank holds all 100 of that money as excess reserves.
 a. True
  b. False
  Indicate whether the statement is true or false


cclemon1

  • Sr. Member
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  • Posts: 312
Reply #1 on: Jun 30, 2018
Answer to Question 1

False

Answer to Question 2

True


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